International outsourcing and labour demand: Evidence from Finnish firm-level data

Petri Böckerman () and Elisa Riihimäki

No 252, Working Papers from Työn ja talouden tutkimus LABORE, The Labour Institute for Economic Research LABORE

Abstract: We examine the employment effects of international outsourcing by using firm-level data from the Finnish manufacturing sector. A major advantage of our data is that outsourcing is defined based on firms’ actual use of intermediate inputs from foreign trade statistics. The estimates show that intensive outsourcing (more than two times the 2-digit industry median) does not reduce employment nor have an effect on the share of low-skilled workers.

Keywords: International outsourcing; offshoring; labour demand; propensity score matching (search for similar items in EconPapers)
JEL-codes: F16 F23 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2009
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Working Paper: International outsourcing and labour demand: Evidence from Finnish firm-level data (2009)
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