Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/121029
Authors: 
Horgos, Daniel
Year of Publication: 
2009
Series/Report no.: 
FIW Working Paper 27
Abstract: 
International Outsourcing effects on labor markets are mostly analyzed within flexible wage settings. Using a modern duality approach, this paper formally investigates differences occurring in industries with low skilled wage rigidity and, for the first time in literature, presents empirical evidence supporting the theoretical findings. Using a logit model to analyze microeconomic German panel data, results show that International Outsourcing significantly increases low skilled unemployment when taking place in industries characterized by low skilled wage rigidity. Thus, in terms of unemployment, not International Outsourcing but inflexible labor market institutions instead should be blamed for harming low skilled labor.
Subjects: 
International Outsourcing
Wage Rigidity
Unemployment
JEL: 
F12
J64
F41
Document Type: 
Working Paper

Files in This Item:
File
Size
207.45 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.