How Remote is the Offshoring Threat ?

Abstract : Advances in communication technology make it possible for workers in India to supply business services to head offices located anywhere. This has the potential to put high-wage workers in direct competition with much lower paid Indian workers. Service trade, however, like goods trade, is subject to strong distance effects, implying that the remote supply of services remains limited. We investigate this proposition by deriving a gravity-like equation for service trade and estimating it for a large sample of countries and different categories of service trade. We find that distance costs are high but are declining over time. Our estimates suggest that delivery costs create a significant advantage for local workers relative to competing workers in distant countries.
Type de document :
Pré-publication, Document de travail
2008
Liste complète des métadonnées

Littérature citée [29 références]  Voir  Masquer  Télécharger

https://hal-sciencespo.archives-ouvertes.fr/hal-01066173
Contributeur : Spire Sciences Po Institutional Repository <>
Soumis le : vendredi 19 septembre 2014 - 12:10:51
Dernière modification le : mardi 11 octobre 2016 - 13:29:16
Document(s) archivé(s) le : samedi 20 décembre 2014 - 11:21:00

Fichier

mayer-ries-head-2008.pdf
Fichiers produits par l'(les) auteur(s)

Identifiants

  • HAL Id : hal-01066173, version 1
  • SCIENCESPO : 2441/10143

Collections

Citation

Keith Head, Thierry Mayer, John Ries. How Remote is the Offshoring Threat ?. 2008. 〈hal-01066173〉

Partager

Métriques

Consultations de la notice

132

Téléchargements de fichiers

294