The extent and impact of outsourcing: evidence from Germany

Craig Aubochon; Subhayu Bandyopadhyay; Sumon Bhaumik

The extent and impact of outsourcing: evidence from Germany

Craig Aubochon, Subhayu Bandyopadhyay, Sumon Bhaumik

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Abstract

The authors use data from several sources, including plant-level data from the manufacturing sector in Germany, to expand the literature on outsourcing. They find that, in Germany, the extent of outsourcing among manufacturing industries is higher than among service industries and that the outsourcing intensity of these industries did not change much between 1995 and 2005. They also find a statistically significantly positive impact of industry-level outsourcing intensity on German plant-level labor productivity for both 2000 and 2005. The estimated economic impact of outsourcing on plant-level productivity is also fairly significant.

Original language	English
Pages (from-to)	287-304
Number of pages	18
Journal	Federal Reserve Bank of St. Louis Review
Volume	July/August
Issue number	4
Publication status	Published - Jul 2012

Bibliographical note

© 2012, The Federal Reserve Bank of St. Louis. The views expressed in this article are those of the author(s) and do not necessarily reflect the views of the Federal Reserve System, the Board of Governors, or the regional Federal Reserve Banks. Articles may be reprinted, reproduced, published, distributed, displayed, and transmitted in their entirety if copyright notice, author name(s), and full citation are included. Abstracts, synopses, and other derivative works may be made only with prior written permission of the Federal Reserve Bank of St. Louis.

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Extent and impact of outsourcing
© 2012, The Federal Reserve Bank of St. Louis. The views expressed in this article are those of the author(s) and do not necessarily reflect the views of the Federal Reserve System, the Board of Governors, or the regional Federal Reserve Banks. Articles may be reprinted, reproduced, published, distributed, displayed, and transmitted in their entirety if copyright notice, author name(s), and full citation are included. Abstracts, synopses, and other derivative works may be made only with prior written permission of the Federal Reserve Bank of St. Louis.
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http://research.stlouisfed.org/publications/review/article/9324

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The extent and impact of outsourcing: evidence from Germany

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