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Type | Journal Article |
Scope | Discipline-based scholarship |
Title | Cross-border sourcing and outward processing in EU manufacturing |
Other Titles | Cross border outsourcing: A general equilibrium perspective and evidence for outward processing in EU manufacturing |
Organization Unit | |
Authors |
|
Item Subtype | Original Work |
Refereed | Yes |
Status | Published in final form |
Language |
|
Journal Title | North American Journal of Economics and Finance |
Publisher | Elsevier |
Geographical Reach | international |
ISSN | 1062-9408 |
Volume | 12 |
Number | 3 |
Page Range | 243 - 256 |
Date | 2001 |
Abstract Text | With the help of a standard 2 × 2 trade model, we develop several hypotheses on the effects of cross-border sourcing on skill intensity in production. The focus is on cross-border sourcing of low-skill-intensive components of exports and import-competing products. We test the aforementioned hypotheses with panel data for manufacturing in the European Union (EU). We find that outward processing is more prevalent in import-competing industries, which are also the EU’s relatively intensive users of low-skilled labor. Outward processing in export industries is found to reduce the skill-to-low-skill ratio in EU industries, while outward processing in import-competing industries has more ambiguous effects. |
Digital Object Identifier | 10.1016/S1062-9408(01)00054-7 |
PDF File | Download from ZORA |
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