The EU enlargement and the impact of outsourcing on industrial employment in Spain, 1993–2003

Offshoring components and their effect on employment: firms deciding about how and where

“…This result is coherent with a previous study (Cadarso et al, 2008), that considered the global offshoring measure. However in this previous work the measure shows significant in some cases in a by-sector and by-country of origin decomposition of the offshoring measure, pointing to the effect of offshoring depending on other elements: the technological composition of the importing sector, the technological composition of the country of origin and the specialization of the importing country.…”

“…We consider that these differentiating elements existing in developing and developed countries, and also found in Cadarso et al (2008) for the Spanish economy, may be due to the technical characteristics of both the purchased inputs and the purchasing sector, and analyse it from a different perspective, by decomposing the technical element within the offshoring measure. From the Carter (1970) seminal work, the analysis of structural decomposition has been widely used in input-output tables literature in order to itemise the evolution of a variable through time according to the change of its components (Wolff, 1985 andSkolka, 1989, are Dietzenbacher and Los (1998) Hanson, while other applications use labour demand functions mainly due to the specific characteristics of the European labour market, where wage differentials are lower than in the US one.…”

“…Our previous analysis of the effect of offshoring on Spanish employment shows that its sign and magnitude changes with sector and country of origin of the offshored goods, so that it seems to be related to the sector F o r P e e r R e v i e w 3 technological component and to the country of origin task specialisation (Cadarso et al, 2008). In the present paper, we deepen into the analysis from a different perspective, as we decompose the measure of offshoring traditionally used in the literature into three better delimited measures.…”

Does Trade Foster Employment Growth in Emerging Markets? Evidence from Turkey

“…Several papers also have addressed with the consequences of trade on the labor demand in advanced economies. The findings usually point at a negative effect of offshoring on the conditional labor demand (Gö rg & Hanley, 2005;OECD, 2007) with the major role played by imports of intermediates from cheap labor countries (Cadarso, Gomez, Lopez, & Tobarra, 2008;Falk & Wolfmayr, 2008;Harrison & McMillan, 2007;Lo Turco & Maggioni, 2012b). The cross-country sector level evidence also shows a negative offshoring impact on the unconditional labor demand (OECD, 2007).…”

Offshoring and job stability: Evidence from Italian manufacturing

“…Harrison and McMillan (2007) show that imports from foreign affiliates located in low income economies reduce home employment in US multinationals, while imports from affiliates located in high income countries positively affect it. Out of the evidence on multinational firms, Lo Turco and Maggioni (2012), at the firm level for Italy, and Cadarso et al (2008) and Falk and Wolfmayr (2008), at the industry level for Spain and the EU respectively, show a similar finding on imports from low income economies. This evidence motivates our expectations on the possibility of different offshoring effects on the job exit rate stemming from different motivations for imports, i.e.…”