Outsourcing and wage inequality in a dynamic product cycle model

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dc.citation.epage19en_US
dc.citation.issueNumber1en_US
dc.citation.spage1en_US
dc.citation.volumeNumber10en_US
dc.contributor.authorSayek, S.en_US
dc.contributor.authorŞener, F.en_US
dc.date.accessioned2016-02-08T10:20:21Z
dc.date.available2016-02-08T10:20:21Z
dc.date.issued2006en_US
dc.departmentDepartment of Economicsen_US
dc.description.abstractThis paper constructs a dynamic North-South trade model with outsourcing and endogenous innovation. Production of high quality goods is first performed in the North (Northern phase), then split between the North and the South (Outsourcing phase), and finally shifted to the South (Southern phase). This cycle is reignited whenever a Northern firm innovates a higher quality product. We find that an increase in the fraction of outsourced production raises the Northern skill premium unambiguously, while raising the Southern skill premium if and only if the skill intensity of outsourced production is higher than that of local Southern production. © 2006 The Authors; Journal compilation © 2006 Blackwell Publishing Ltd.en_US
dc.identifier.doi10.1111/j.1467-9361.2005.00297.xen_US
dc.identifier.eissn1467-9361
dc.identifier.issn1363-6669
dc.identifier.urihttp://hdl.handle.net/11693/23860
dc.language.isoEnglishen_US
dc.publisherWiley-Blackwell Publishing Ltd.en_US
dc.relation.isversionofhttp://dx.doi.org/10.1111/j.1467-9361.2005.00297.xen_US
dc.source.titleReview of Development Economicsen_US
dc.subjectNumerical modelen_US
dc.subjectOutsourcingen_US
dc.subjectWage gapen_US
dc.titleOutsourcing and wage inequality in a dynamic product cycle modelen_US
dc.typeArticleen_US
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