Outsourcing Potentials and International Tradability of Jobs - Evidence from German Micro-Level Data

Tobias Brändle () and Andreas Koch

No 93, IAW Discussion Papers from Institut für Angewandte Wirtschaftsforschung (IAW)

Abstract: We analyze the offshorability of jobs using the German Qualifications and Career Survey. The paper differentiates between outsourcing potential and international tradability and systematically uses a large set of potential determinants of organizational and spatial relocation derived from the existing literature on offshoring. Applying principal component analysis, we are able to compute two indicators explaining both the outsourcing potential and the international tradability of an individual employee according to the characteristics of the job performed. The results show that there is significant variation along the two dimensions across tasks, occupations, and industries. We apply our results to analyze the effects of outsourcing potential and international tradability on individual income and find that especially the latter has a negative effect. Moreover, our computed indicators can be used to further investigate the economic effects of offshoring potential.

Keywords: Outsourcing; International Trade; Offshoring; Trade in Tasks (search for similar items in EconPapers)
JEL-codes: D23 F16 J24 O33 (search for similar items in EconPapers)
Pages: 31 pages
Date: 2013-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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http://www.iaw.edu/RePEc/iaw/pdf/iaw_dp_93.pdf (application/pdf)

Related works:
Working Paper: Outsourcing Potentials and International Tradability of Jobs. Evidence from German Micro-Level Data (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:iaw:iawdip:93

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