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dc.contributor.authorAronsson, Thomasen_US
dc.contributor.authorKoskela, Erkkien_US
dc.date.accessioned2010-01-26en_US
dc.date.accessioned2010-05-14T08:20:29Z-
dc.date.available2010-05-14T08:20:29Z-
dc.date.issued2009en_US
dc.identifier.urihttp://hdl.handle.net/10419/30514-
dc.description.abstractThis paper concerns public input provision as an instrument for redistribution under international outsourcing by using a model-economy comprising two countries, North and South, where firms in the North may outsource part of their low-skilled labor intensive production to the South. We consider two interrelated issues: (i) the incentives for each country to modify the provision of public input goods in response to international outsourcing, and (ii) whether international outsourcing justifies policy cooperation. If the public input good is substitutable for (complementary with) outsourcing in terms of the production function faced by northern firms, then outsourcing contributes to increase (decrease) the public input provision in the North. For the South, the optimal policy response depends on the level of outsourcing. We also show how policy cooperation with respect to public input provision can be designed to increase the overall social welfare.en_US
dc.language.isoengen_US
dc.publisherCESifo Münchenen_US
dc.relation.ispartofseriesCESifo working paper 2886en_US
dc.subject.jelH21en_US
dc.subject.jelH25en_US
dc.subject.jelJ31en_US
dc.subject.jelJ62en_US
dc.subject.ddc330en_US
dc.subject.keywordoutsourcingen_US
dc.subject.keywordredistributionen_US
dc.subject.keywordpublic input goodsen_US
dc.subject.keywordasymmetric informationen_US
dc.titleOutsourcing, public Input provision and policy cooperationen_US
dc.typeWorking Paperen_US
dc.identifier.ppn617136270en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
Appears in Collections:CESifo Working Papers, CESifo Group Munich

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