Does Offshoring of Materials and Business Services Affect Employment? Evidence from a Small Open Economy

Bernhard Michel (bm@plan.be) and Francois Rycx
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Bernhard Michel: Federal Planning Bureau, Belgium

No 4164, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: The fear of massive job losses has prompted a fast-growing literature on offshoring and its impact on employment in advanced economies. This paper examines the situation for Belgium. It improves the offshoring intensity measure by computing a volume measure of the share of imported intermediates in output and it is among the first to address both materials and business services offshoring to high-wage and low-wage countries. Estimations of static and dynamic industry-level labour demand equations augmented by offshoring intensities do not reveal a significant impact of either materials or business services offshoring on total employment for Belgium between 1995 and 2003.

Keywords: supply and use tables; imported intermediate inputs; industry-level employment; panel data; offshoring; labour demand equations (search for similar items in EconPapers)
JEL-codes: F15 J22 (search for similar items in EconPapers)
Pages: 42 pages
Date: 2009-05
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Published - published in: Applied Economics, 2012, 44 (2), 229 - 251

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Related works:
Journal Article: Does offshoring of materials and business services affect employment? Evidence from a small open economy (2012)
Journal Article: Does offshoring of materials and business services affect employment? Evidence from a small open economy (2012)
Working Paper: Does Offshoring of Materials and Business Services Affect Employment? Evidence from a Small Open Economy (2009)
Working Paper: Does Offshoring of Materials and Business Services Affect Employment? Evidence from a Small Open Economy (2009)
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