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Author: Federico Mandelman Publisher: ISBN: Category : Languages : en Pages : 43
Book Description
During the last three decades, the U.S. labor market has been characterized by its employment polarization. As jobs in the middle of the skill distribution have shrunk, employment has expanded in high- and low-skill occupations. Real wages have not followed the same pattern. While earnings for high-skill occupations have risen robustly, wages for both low- and middle-skill workers have remained subdued. We attribute this outcome to the rise in offshoring and low-skilled immigration, and develop a three-country stochastic growth model to rationalize their asymmetric effect on employment and wages, as well as their implications for U.S. welfare. In the model, the increase in offshoring negatively affects middle-skill occupations but benefits the high-skill ones, which in turn boosts aggregate productivity. As the income of high-skill occupations rises, so does the demand for complementary services provided by low-skill workers. However, low-skill wages remain depressed due to the rise in low-skilled immigration. Native workers react to immigration by investing in training. Offshoring and low-skilled immigration improve aggregate welfare in the U.S. economy, notwithstanding their asymmetric impact on native workers of different skill levels. The model is estimated using data on real GDP, U.S. employment by skill group, and enforcement at the U.S.-Mexico border.
Author: Federico Mandelman Publisher: ISBN: Category : Languages : en Pages : 43
Book Description
During the last three decades, the U.S. labor market has been characterized by its employment polarization. As jobs in the middle of the skill distribution have shrunk, employment has expanded in high- and low-skill occupations. Real wages have not followed the same pattern. While earnings for high-skill occupations have risen robustly, wages for both low- and middle-skill workers have remained subdued. We attribute this outcome to the rise in offshoring and low-skilled immigration, and develop a three-country stochastic growth model to rationalize their asymmetric effect on employment and wages, as well as their implications for U.S. welfare. In the model, the increase in offshoring negatively affects middle-skill occupations but benefits the high-skill ones, which in turn boosts aggregate productivity. As the income of high-skill occupations rises, so does the demand for complementary services provided by low-skill workers. However, low-skill wages remain depressed due to the rise in low-skilled immigration. Native workers react to immigration by investing in training. Offshoring and low-skilled immigration improve aggregate welfare in the U.S. economy, notwithstanding their asymmetric impact on native workers of different skill levels. The model is estimated using data on real GDP, U.S. employment by skill group, and enforcement at the U.S.-Mexico border.
Author: Barry R. Chiswick Publisher: Government Institutes ISBN: 0844743879 Category : Political Science Languages : en Pages : 367
Book Description
Recent U.S. immigration reform proposals have focused almost exclusively on regulating the population of low-skilled foreign workers. High-Skilled Immigration in a Global Labor Market contends that policymakers should focus more on attracting immigrants with exclusive skill sets-professional, technical, and managerial (PTM) workers. PTM workers positively impact the economy by expanding production capability, increasing the growth rate of total factor productivity, and enhancing international competitiveness. Barry R. Chiswick and his coauthors examine the policies established by other OECD countries (such as Australia, Canada, and New Zealand) to attract foreign PTM workers and explore how U.S. immigration policy could be altered to maximize the economic benefits of high-skilled immigration.
Author: Deborah Winkler Publisher: Springer Science & Business Media ISBN: 3790821993 Category : Business & Economics Languages : en Pages : 314
Book Description
Services – from information technology to research to finance – are now as subject to international trade as goods have been for decades. What are the labor market consequences of the recent surge in services offshoring? While offshoring has traditionally been found to affect only less-skilled workers in industrialized countries, this study finds that services offshoring also has negative consequences for high-skilled workers. Focusing on the case of Germany, Deborah Winkler shows how services offshoring has grown, who is most affected and what policy makers can do. Winkler measures the impact of services offshoring on German productivity, employment, and employment structure. She provides a well-balanced synthesis of theoretical insights, detailed empirical analysis, and economic policy recommendations. Although her main focus is on the case of Germany, many insights are also applicable to other developed countries.
Author: Roger Waldinger Publisher: Univ of California Press ISBN: 0520229800 Category : Business & Economics Languages : en Pages : 300
Book Description
Solving the riddle of America's immigration puzzle, this text seeks to address the question of why an increasingly high-tech society has use for so many immigrants who lack the basic skills that the modern economy seems to demand.
Author: Ehsan Vallizadeh Publisher: ISBN: Category : Languages : en Pages : 52
Book Description
We examine the effects of endogenous offshoring on cost-efficiency, wages and unemployment in a taskassignment model with skill heterogeneity. Exact conditions for the following insights are derived. The distributional effect of offshoring (high-) low-skill-intensive tasks is similar to (unskilled-) skill-biased technology changes, while offshoring medium-skill-intensive tasks induces wage polarization. Offshoring improves cost-efficiency through international task reallocation and puts a downward pressure on all wages through domestic skill-task reallocation. If elasticities of task substitution are low (high), the downward pressure on wages in neighboring skill segments is low (high) with a net effect of higher (lower) wages and employment.
Author: John M. Abowd Publisher: University of Chicago Press ISBN: 0226000966 Category : Political Science Languages : en Pages : 446
Book Description
Are immigrants squeezing Americans out of the work force? Or is competition wth foreign products imported by the United States an even greater danger to those employed in some industries? How do wages and unions fare in foreign-owned firms? And are the media's claims about the number of illegal immigrants misleading? Prompted by the growing internationalization of the U.S. labor market since the 1970s, contributors to Immigration, Trade, and the Labor Market provide an innovative and comprehensive analysis of the labor market impact of the international movements of people, goods, and capital. Their provocative findings are brought into perspective by studies of two other major immigrant-recipient countries, Canada and Australia. The differing experiences of each nation stress the degree to which labor market institutions and economic policies can condition the effect of immigration and trade on economic outcomes Contributors trace the flow of immigrants by comparing the labor market and migration behavior of individual immigrants, explore the effects of immigration on wages and employment by comparing the composition of the work force in local labor markets, and analyze the impact of trade on labor markets in different industries. A unique data set was developed especially for this study—ranging from an effort to link exports/imports with wages and employment in manufacturing industries, to a survey of illegal Mexican immigrants in the San Diego area—which will prove enormously valuable for future research.
Author: Katharine G. Abraham Publisher: University of Chicago Press ISBN: 9780226001432 Category : Business & Economics Languages : en Pages : 519
Book Description
As the structure of the economy has changed over the past few decades, researchers and policy makers have been increasingly concerned with how these changes affect workers. In this book, leading economists examine a variety of important trends in the new economy, including inequality of earnings and other forms of compensation, job security, employer reliance on temporary and contract workers, hours of work, and workplace safety and health. In order to better understand these vital issues, scholars must be able to accurately measure labor market activity. Thus, Labor in the New Economy also addresses a host of measurement issues: from the treatment of outliers, imputation methods, and weighting in the context of specific surveys to evaluating the strengths and weaknesses of data from different sources. At a time when employment is a central concern for individuals, businesses, and the government, this volume provides important insight into the recent past and will be a useful tool for researchers in the future.
Author: Gianmarco I. P. Ottaviano Publisher: ISBN: Category : Economics Languages : en Pages : 0
Book Description
Abstract: How many "American jobs" have U.S.-born workers lost due to immigration and offshoring? Or, alternatively, is it possible that immigration and offshoring, by promoting cost-savings and enhanced efficiency in firms, have spurred the creation of jobs for U.S. natives? We consider a multi-sector version of the Grossman and Rossi-Hansberg (2008) model with a continuum of tasks in each sector and we augment it to include immigrants with heterogeneous productivity in tasks. We use this model to jointly analyze the impact of a reduction in the costs of offshoring and of the costs of immigrating to the U.S. The model predicts that while cheaper offshoring reduces the share of natives among less skilled workers, cheaper immigration does not, but rather reduces the share of offshored jobs instead. Moreover, since both phenomena have a positive "cost-savings" effect they may leave unaffected, or even increase, total native employment of less skilled workers. Our model also predicts that offshoring will push natives toward jobs that are more intensive in communication-interactive skills and away from those that are manual and routine intensive. We test the predictions of the model on data for 58 U.S. manufacturing industries over the period 2000-2007 and find evidence in favor of a positive productivity effect such that immigration has a positive net effect on native employment while offshoring has no effect on it. We also find some evidence that offshoring has pushed natives toward more communication-intensive tasks while it has pushed immigrants away from them
Author: Organisation for Economic Co-operation and Development Publisher: Org. for Economic Cooperation & Development ISBN: Category : Business & Economics Languages : en Pages : 236
Book Description
Offshoring - the transfer of an industrial activity abroad - is defined in detail and its effects examined.
Author: Federico Mandelman
Author: Federico Mandelman
Author: Barry R. Chiswick
Author: Deborah Winkler
Author: Roger Waldinger
Author: Ehsan Vallizadeh
Author: John M. Abowd
Author: Katharine G. Abraham
Author: Gianmarco I. P. Ottaviano
Author: Organisation for Economic Co-operation and Development
Author: David M. Arseneau