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A research note on the determinants and consequences of outsourcing using German data

Author

Listed:
  • Addison, John T.

    (Department of Economics, Moore School of Business, University of South Carolina)

  • Bellmann, Lutz

    (Institute for Employment Research (IAB), Nuremberg, Germany ; Department of Economics, University Erlangen-Nuremberg)

  • Pahnke, André
  • Teixeira, Paulino

    (Faculdade de Economia, Universidade de Coimbra, Portugal)

Abstract

"Using German data from the Institute for Employment Research Establishment Panel, this paper constructs two main measures of outsourcing and examines their determinants and consequences for employment. There are some commonalities in the correlates of the two measures of outsourcing, as well as agreement on the absence of adverse employment effects across all industries. For one specification, however, some negative effects are reported for manufacturing industry, balanced by positive effects for the services sector for another. But there are no obvious indications of survival bias. This is because the association between outsourcing and plant closings is predominantly negative, albeit poorly determined." (Author's abstract, IAB-Doku) ((en))

Suggested Citation

  • Addison, John T. & Bellmann, Lutz & Pahnke, André & Teixeira, Paulino, 2011. "A research note on the determinants and consequences of outsourcing using German data," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 44(3), pages 231-244.
  • Handle: RePEc:iab:iabzaf:v:44:i:3:p:231-244
    DOI: 10.1007/s12651-011-0079-1
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    References listed on IDEAS

    as
    1. Muendler, Marc A & Becker, Sascha O., 2006. "The Effect of FDI on Job Separation," University of California at San Diego, Economics Working Paper Series qt28h3p82z, Department of Economics, UC San Diego.
    2. Gorg, Holger & Hanley, Aoife, 2005. "Labour demand effects of international outsourcing: Evidence from plant-level data," International Review of Economics & Finance, Elsevier, vol. 14(3), pages 365-376.
    3. Laura Abramovsky & Rachel Griffith, 2006. "Outsourcing and Offshoring of Business Services: How Important is ICT?," Journal of the European Economic Association, MIT Press, vol. 4(2-3), pages 594-601, 04-05.
    4. John Addison & Lutz Bellmann & Thorsten Schank & Paulino Teixeira, 2008. "The Demand for Labor: An Analysis Using Matched Employer–Employee Data from the German LIAB. Will the High Unskilled Worker Own-Wage Elasticity Please Stand Up?," Journal of Labor Research, Springer, vol. 29(2), pages 114-137, June.
    5. Holger Görg & Aoife Hanley, 2007. "International Services Outsourcing and Innovation: An Empirical Investigation," Discussion Papers 07/43, University of Nottingham, GEP.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Alessandro Bramucci & Antonello Zanfei, 2015. "The governance of offshoring and its effects at home. The role of codetermination in the international organization of German firms," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 42(2), pages 217-244, June.
    2. Tobias Brändle, 2015. "Is offshoring linked to offshoring potential? Evidence from German linked employer–employee data," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 151(4), pages 735-766, November.
    3. Pahnke, André & Reiff, Annika & Wolter, Hans-Jürgen, 2023. "Entwicklungstendenzen globaler Wertschöpfungsketten aus Sicht mittelständischer Unternehmen," IfM-Materialien 302, Institut für Mittelstandsforschung (IfM) Bonn.

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    More about this item

    Keywords

    Bundesrepublik Deutschland ; Ausland ; Auswirkungen ; Beschäftigungseffekte ; Betriebsstilllegung ; Determinanten ; Dienstleistungsbereich ; IAB-Betriebspanel ; Kostensenkung ; Niedriglohnland ; outsourcing ; outsourcing ; Arbeitskosten ; verarbeitendes Gewerbe ; Wirtschaftszweige ; 2002-2006;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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