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ifo Institut – Leibniz-Institut für Wirtschaftsforschung an der Universität München >
CESifo Working Papers, CESifo Group Munich >
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http://hdl.handle.net/10419/30696
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| Title: | | Global sourcing decisions and firm productivity: evidence from Spain  |
| Authors: | | Kohler, Wilhelm K. Smolka, Marcel |
| Issue Date: | | 2009 |
| Series/Report no.: | | CESifo working paper 2903 |
| Abstract: | | We investigate the link between productivity of firms and their sourcing behavior. Following Antràs & Helpman (2004) we distinguish between domestic and foreign sourcing, as well as between outsourcing and vertical integration. A firm’s choice is driven by a hold-up problem caused by lack of enforceable contracts. We use Spanish firm-level data to examine the productivity premia associated with the different sourcing strategies. We find strong empirical support for the predictions of the model. |
| Subjects: | | productivity outsourcing intra-firm trade foreign direct investment incomplete contracts firm-level data |
| JEL: | | F14 F23 L22 L23 |
| Document Type: | | Working Paper |
| Appears in Collections: | | CESifo Working Papers, CESifo Group Munich
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