Offshore Production and Skill Upgrading by Japanese Manufacturing Firms∗
نویسندگان
چکیده
We investigate the influence of offshore production by Japanese multinationals on labour in Japan. Identifying relationships based on within variation in a panel of 1070 Japanese firms, we find that additional foreign affiliate employment is associated with greater use of nonproduction labour at home relative to production labour. Firms that shift production overseas also tend to increase their average wages and purchased goods. These effects are strongest when the offshore production occurs in low income countries. JEL classification: F2
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