FDI And The Composition Of Tasks: Evidence From Linked Employer-Employee Data

Topics:
Foreign Direct Investment
Tags:
Finance,
Foreign Direct Investment,
Foreign Direct Investment (FDI),
Investment,
San Diego,
Task,
University Of California,
Worker
Source:
University of California, San Diego

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Overview: Theories of offshoring stress that it generates international trade in tasks and as such affects the composition of tasks performed at home. Detailed information is used about the employees at German multinationals to analyze how the firms' foreign activities affect the demand for different types of tasks. The effect on the relative demand is estimated for white-collar workers, for workers with high educational attainment and for workers carrying out non-routine tasks and tasks involving personal interaction. The results suggest that a foreign expansion is associated with an increased relative demand for all these categories.

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Format: PDF | Size: 275KB | Date: Mar 2007 | Pages: 31

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