Exporting and Offshoring with Monopsonistic Competition

• 成果类型: Article
• 署名作者: Egger, Hartmut; Kreickemeier, Udo; Moser, Christoph; Wrona, Jens
• 署名单位: University of Bayreuth; Leibniz Association; Ifo Institut; University of Gottingen; Leibniz Association; Ifo Institut; Leibniz Association; Ifo Institut; University of Erlangen Nuremberg; University of Duisburg Essen; Leibniz Association; Ifo Institut
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/ueab078
• 发表日期: 2022
• 页码: 1449-1488
• 关键词: labor-markets; TRADE; INEQUALITY; wages; FIRMS; jobs; CHOICE; tasks

摘要

We develop a model of international trade with heterogeneous firms and monopsonistically competitive labour markets. We show that due to monopsonistic competition our model makes sharply different predictions about the effects of the export of goods and the offshoring of tasks. Trade in goods is unambiguously welfare increasing as domestic resources are reallocated to large firms with high productivity and firms with low productivities exit the market thereby reducing the monopsony distortion present in autarky. Offshoring, however, gives firms additional scope for exercising monopsony power by reducing their domestic size and therefore can lead to welfare losses.