Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/24829 
Year of Publication: 
2008
Series/Report no.: 
Kiel Working Paper No. 1434
Publisher: 
Kiel Institute for the World Economy (IfW), Kiel
Abstract: 
This paper investigates the effects of services offshoring on wages using individual level data combined with industry information on offshoring. Our results show that services ofsshoring affects the real wage of low and medium skilled individuals negatively. By contrast, skilled workers benefit from services offshoring in terms of higher real wages. Hence, offshoring has contributed to a widening of the wage gap between skilled and less skilled workers. This result is obtained while controlling for individual and sectoral observed and unobserved heterogeneity. In particular, our empirical model also controls for the impact of technological change and offshoring materials.
Subjects: 
Services offshoring
individual wages
JEL: 
F16
J31
C23
Document Type: 
Working Paper

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