International Offshoring, Local Effects: an Inquiry on Italian Firms

Authors

  • Giancarlo Corò
  • Marina Schenkel
  • Mario Volpe

DOI:

https://doi.org/10.4468/2013.2.07coro.schenkel.volpe

Keywords:

International Offshoring, Local Effects, Italian Affiliates Abroad, Global Competition

Abstract

Does offshoring affect industrial productivity at local level? In order to reply to this question a set of equation have been estimated on a panel of Italian provinces in the period 1999-2010, using DOLS (Dynamic Ordinary Least Square) methodology for panel data. The main results of the empirical analysis are: 1) offshoring has not damaged manufacturing employment: 2) offshoring has increased employment in services. The proposed explanation is that offshoring is associated with productivity growth, an indirect proof that the process was not pursued simply as a cost-reduction seeking strategy. However short and long run effects may differ, and data shows that the process is still in its initial stage

Author Biographies

Giancarlo Corò

University of Venice Ca’ Foscari, Department of Economics

Marina Schenkel

University of Udine, Department of Economic and Statistics

Mario Volpe

University of Venice Ca’ Foscari, Department of Economics

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Published

01-12-2013

How to Cite

Corò, G., Schenkel, M., & Volpe, M. (2013). International Offshoring, Local Effects: an Inquiry on Italian Firms. Symphonya. Emerging Issues in Management, (2), 88–99. https://doi.org/10.4468/2013.2.07coro.schenkel.volpe