Downstream offshoring and firm‐level employment
- Author
- Bruno Merlevede (UGent) and Klaus Bernhard Michel (UGent)
- Organization
- Abstract
- When engaging in offshoring, firms import not only intermediates they usedto produce in-house but also intermediates they previously sourced from non-affiliateddomestic suppliers. This leads to a negative demand shock for the latter. We labelthis demand shock “downstream offshoring” and develop a novel measure capturing itsextent for a firm in a given upstream industry. According to our instrumental variablesestimations for a rich sample of Belgian manufacturing firms for the period of 1997 to2007, downstream offshoring has a robust negative effect on employment.
- Délocalisation en aval et emploi au niveau des entreprises. Dans le cadre del’internationalisation de leurs processus de production, les entreprises augmentent leursimportations d’inputs intermédiaires pour remplacer non seulement des inputs qu’ellesproduisent en interne mais aussi des inputs achetés auprès de fournisseurs domestiquesnon-affiliés. Cela entraîne un choc de demande négatif pour ces derniers. Nous avonsappelé ce chocdélocalisation en avalet développé un indicateur permettant demesurer son importance pour des firmes dans un secteur en amont. Basées sur un largeéchantillon d’entreprises du secteur manufacturier pour les années 1997–2007 et utilisantdes variables instrumentales, nos estimations montrent que les chocs de délocalisationen aval ont un effet négatif robuste sur l’emploi.
- Keywords
- Economics and Econometrics
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Citation
Please use this url to cite or link to this publication: http://hdl.handle.net/1854/LU-8655610
- MLA
- Merlevede, Bruno, and Klaus Bernhard Michel. “Downstream Offshoring and Firm‐level Employment.” CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D’ECONOMIQUE, vol. 53, no. 1, 2020, pp. 249–83, doi:10.1111/caje.12425.
- APA
- Merlevede, B., & Michel, K. B. (2020). Downstream offshoring and firm‐level employment. CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D’ECONOMIQUE, 53(1), 249–283. https://doi.org/10.1111/caje.12425
- Chicago author-date
- Merlevede, Bruno, and Klaus Bernhard Michel. 2020. “Downstream Offshoring and Firm‐level Employment.” CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D’ECONOMIQUE 53 (1): 249–83. https://doi.org/10.1111/caje.12425.
- Chicago author-date (all authors)
- Merlevede, Bruno, and Klaus Bernhard Michel. 2020. “Downstream Offshoring and Firm‐level Employment.” CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D’ECONOMIQUE 53 (1): 249–283. doi:10.1111/caje.12425.
- Vancouver
- 1.Merlevede B, Michel KB. Downstream offshoring and firm‐level employment. CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D’ECONOMIQUE. 2020;53(1):249–83.
- IEEE
- [1]B. Merlevede and K. B. Michel, “Downstream offshoring and firm‐level employment,” CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D’ECONOMIQUE, vol. 53, no. 1, pp. 249–283, 2020.
@article{8655610,
abstract = {{When engaging in offshoring, firms import not only intermediates they usedto produce in-house but also intermediates they previously sourced from non-affiliateddomestic suppliers. This leads to a negative demand shock for the latter. We labelthis demand shock “downstream offshoring” and develop a novel measure capturing itsextent for a firm in a given upstream industry. According to our instrumental variablesestimations for a rich sample of Belgian manufacturing firms for the period of 1997 to2007, downstream offshoring has a robust negative effect on employment.}},
author = {{Merlevede, Bruno and Michel, Klaus Bernhard}},
issn = {{0008-4085}},
journal = {{CANADIAN JOURNAL OF ECONOMICS-REVUE CANADIENNE D'ECONOMIQUE}},
keywords = {{Economics and Econometrics}},
language = {{eng}},
number = {{1}},
pages = {{249--283}},
title = {{Downstream offshoring and firm‐level employment}},
url = {{http://dx.doi.org/10.1111/caje.12425}},
volume = {{53}},
year = {{2020}},
}
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