Off-Shoring and Productivity Growth in the Italian Manufacturing Industries

Francesco Daveri () and Cecilia Jona-Lasinio

No 339, Working Papers from IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University

Abstract: We study the relation between the off-shoring of intermediates and services and productivity growth in the Italian manufacturing industries in 1995-2003. Our results indicate that the off-shoring of intermediates within the same industry (“narrow off-shoring”) is beneficial for productivity growth, while the off-shoring of services is not. We also find that the way in which off-shoring is measured may matter considerably. The positive relation between off-shoring of intermediates and productivity growth is there with our direct measures based on input-output data but disappears when either a broad measure or the Feenstra-Hanson off-shoring measure employed in other studies are used instead.

Date: Written

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Related works:
Working Paper: Off-shoring and productivity growth in the Italian manufacturing industries (2007)
Working Paper: Off-Shoring and Productivity Growth in the Italian Manufacturing Industries (2008)
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