Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/93505 
Year of Publication: 
2014
Series/Report no.: 
MAGKS Joint Discussion Paper Series in Economics No. 02-2014
Publisher: 
Philipps-University Marburg, Faculty of Business Administration and Economics, Marburg
Abstract: 
In this paper, we develop a two-sector general equilibrium trade model which includes offshoring, sequential production, and endogenous market structures. We analyze how relative factor endowments and various forms of globalization and technological change affect equilibrium offshoring patterns. We show that, against common belief, a reduction in trade costs lowers the range of tasks offshored even though the aggregate volume of offshoring may increase.
Subjects: 
Offshoring
sequential production
global production chain
task trade
JEL: 
D24
F10
F23
L23
Document Type: 
Working Paper

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