The impact of offshoring on innovation and productivity: Evidence from Swedish manufacturing firms
Christopher Baum (),
Hans Lööf (),
Andreas Stephan () and
Ingrid Viklund-Ros ()
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Ingrid Viklund-Ros: CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology
No 486, Working Paper Series in Economics and Institutions of Innovation from Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies
We examine the impact of offshoring on patenting and total factor productivity using a panel of 7,000 mainly small Swedish manufacturing firms over the period 2001-2014. We apply the United Nations Broad Economic Categories (BEC)system to identify offshoring-related intermediate imports. The results show that the link between offshoring on the one hand and innovation and productivity on the other is largely explained by self-selection and reverse causality. We find a positive but statistically weak impact of offshoring on innovation, and no effect on productivity.
Keywords: offshoring; patent; trademark; innovation; productivity; panel data (search for similar items in EconPapers)
JEL-codes: C33 D24 F61 L23 O31 (search for similar items in EconPapers)
Pages: 29 pages
New Economics Papers: this item is included in nep-eff, nep-ent, nep-sbm and nep-tid
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:cesisp:0486
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