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Domestic and International Offshoring of Tasks

Eckhardt Bode, Franz-Josef Bade Bade and Eleonora Cutrini ()

ERSA conference papers from European Regional Science Association

Abstract: In this paper, we explore empirically the aggregate patterns of offshoring (or outsourcing) of tasks, which we call "functions", within a country, and link these patterns to those of offshoring across countries, thereby bridging the existing gap in the literature between intra- and international offshoring. By estimating K densities from georeferenced establishment-level data, we assess, separately for 27 West German manufacturing industries, to what extent three selected functions, production, headquarters (HQ), and research and development (R&D), were spatially clustered—both individually and with each other—in these industries. We also assess how these patterns of spatial clustering of functions changed during the past two decades (1992 – 2007). Please note This is begginning of the extended abstract which is uploaded.

Date: 2011-09
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