Low-skill offshoring and welfare compensation policies
Agnese, Pablo
Hromcová, Jana
Universitat Autònoma de Barcelona. Departament d'Economia Aplicada

Imprint: Universitat Autònoma de Barcelona. Departament d'Economia Aplicada 2015
Description: 29 p.
Abstract: We analyze the effects of low-skill offshoring on welfare. In the context of a matching model with different possible equilibria, we discuss two alternative policies that could potentially outweigh the negative welfare effects of offshoring, namely, a change of the unemployment bene. ts and the . exibilization of the labor market. Our calibrations for the German economy suggest that the . exibilization of the labor market can bring low-skill workers to pre-offshoring welfare levels by slightly reducing the vacancy costs, something that cannot be accomplished by meddling with the unemployment bene. ts scheme. In addition, we . find that a full compensation can be achieved by an upgrading of low-skill workers, its size depending on the type of equilibrium involved. In sum, our analysis gives support to . exibilization and upgrading by education as best therapies for offshoring.
Grants: Ministerio de Economía y Competitividad ECO2012-37572
Rights: Aquest document està subjecte a una llicència d'ús Creative Commons. Es permet la reproducció total o parcial, la distribució, i la comunicació pública de l'obra, sempre que no sigui amb finalitats comercials, i sempre que es reconegui l'autoria de l'obra original. No es permet la creació d'obres derivades. Creative Commons
Language: Català
Series: Departament d'Economia Aplicada. Documents de treball
Series: Document de treball (Universitat Autònoma de Barcelona. Departament d'Economia Aplicada) ; 1505
Document: Working paper
Subject: Mercat de treball ; Contractació externa ; Offshoring ; Welfare ; Unemployment benefits ; Labor market flexibility ; Upgrading



29 p, 443.8 KB

The record appears in these collections:
Research literature > Working papers > Department of Applied Economics. Working papers

 Record created 2016-01-27, last modified 2024-05-19



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