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Task dependence of U.S. service offshoring patterns

  • Püschel, Julia
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    This work offers new insights into the determinants of service offshoring across countries and across service industries. Combining different data sources over the 2006-2009 period, I find that certain country characteristics affect offshoring costs for all services, while the effects of other characteristics depend on the coordination requirements of the respective service industry. The results from a zero-inflated Poisson pseudomaximum likelihood estimation indicate that the effects of a membership in NAFTA, and a common colonial past on service offshoring patterns depend on the task content of the services. These results are robust to the control for unobservable country-level heterogeneity. The quality of legal institutions, a common legal origin, geographic distance, and time zone differences influence offshoring patterns identically across all service industries.

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    Paper provided by Free University Berlin, School of Business & Economics in its series Discussion Papers with number 2012/15.

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    Date of creation: 2012
    Date of revision:
    Handle: RePEc:zbw:fubsbe:201215
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