Skill-Upgrading and Internationalization: Country-of-Origin or End-Use of Products

Anders Sørensen

No 19-2007, Working Papers from Copenhagen Business School, Department of Economics

Abstract: This paper investigates the empirical consequences for the relationship between skill upgrading and internationalization by decomposing import after country-of-origin and after the end-use of products. I find that the break-down after country-of-origin is of crucial importance, implying that international trade with low-wage countries leads to comprehensive skill upgrading, whereas international trade with high-wage countries leads to skill downgrading in Danish Manufacturing. The empirical literature on skill-upgrading and internationalization has mainly focused on international outsourcing and has to a large extent disregarded import penetration. By splitting import after country-of-origin, this reintroduces import penetration as an important explanation for skill upgrading. skill upgrading, import, country-of-origin, end-use of products

Keywords: na (search for similar items in EconPapers)
JEL-codes: G10 (search for similar items in EconPapers)
Pages: 11 pages
Date: 2007-01-01
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Journal Article: Skill-upgrading and internationalization: Country-of-origin or end-use of products (2008)
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