The Effect of Offshoring on Labour Demand: Evidence from Sweden

Karolina Ekholm () and Katariina Nilsson Hakkala

No 5648, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: We analyze the effects of offshoring of intermediate input production on labour demand in Sweden, distinguishing between workers with different educational attainments. The econometric results using data for the 1995-2000 period indicate that offshoring -- in particular to low-income countries -- tends to shift labour demand away from workers with an intermediate level of education. Offshoring to high-income countries, which is the largest component of overall offshoring, does not have any statistically significant effect on the composition of labour demand.

Keywords: Offshoring; Labour demand; Translog cost function; Factor-biased technological change (search for similar items in EconPapers)
JEL-codes: F16 (search for similar items in EconPapers)
Date: 2006-04
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Citations: View citations in EconPapers (38)

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Working Paper: The Effect of Offshoring on Labor Demand: Evidence from Sweden (2005)
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