Task Trade between Similar Countries

dc.creatorGrossman, Gene M.
dc.creatorRossi-Hansberg, Esteban
dc.date2012-03-19T18:04:59Z
dc.date2012-03-19T18:04:59Z
dc.date2011-09-01
dc.date.accessioned2026-07-01T01:09:54Z
dc.descriptionThe authors propose a theory of task trade between countries that have similar relative factor endowments and technological capabilities but may differ in size. Firms produce differentiated goods by performing a continuum of tasks, each of which generates local spillovers. Tasks can be performed at home or abroad, but offshoring entails costs that vary by task. In equilibrium, the tasks with the highest offshoring costs may not be traded. Among the remainder, those with the relatively higher offshoring costs are performed in the country that has the higher wage and higher aggregate output. The paper discusses the relationship between equilibrium wages, equilibrium outputs, and relative country size and examines how the pattern of specialization reflects the key parameters of the model.
dc.formatapplication/pdf
dc.formattext/plain
dc.identifierhttp://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110928160539
dc.identifierhttps://hdl.handle.net/10986/3582
dc.identifier10.1596/1813-9450-5819
dc.identifier.urihttp://hdl.handle.net/123456789/415747
dc.languageEnglish
dc.relationPolicy Research working paper ; no. WPS 5819
dc.rightsCC BY 3.0 IGO
dc.rightshttp://creativecommons.org/licenses/by/3.0/igo/
dc.rightsWorld Bank
dc.subjectALLOCATION
dc.subjectBERTRAND COMPETITION
dc.subjectBILATERAL TRADE
dc.subjectCOMPARATIVE ADVANTAGE
dc.subjectCONSUMERS
dc.subjectCORPORATION
dc.subjectDEMAND CURVE
dc.subjectDEVELOPED COUNTRIES
dc.subjectDEVELOPMENT ECONOMICS
dc.subjectDEVELOPMENT POLICY
dc.subjectDIVISION OF LABOR
dc.subjectECONOMIC FORCES
dc.subjectECONOMIC GROWTH
dc.subjectECONOMIC POLICY
dc.subjectECONOMIES OF SCALE
dc.subjectELASTICITY
dc.subjectELASTICITY OF SUBSTITUTION
dc.subjectEQUATIONS
dc.subjectEQUILIBRIUM
dc.subjectEQUILIBRIUM PRICES
dc.subjectEQUILIBRIUM WAGES
dc.subjectEXCESS DEMAND
dc.subjectEXPORTS
dc.subjectEXTERNALITIES
dc.subjectFACTOR MARKETS
dc.subjectFREE ENTRY
dc.subjectFUNCTIONAL FORMS
dc.subjectGENERAL EQUILIBRIUM
dc.subjectGLOBAL TRADE
dc.subjectGLOBALIZATION
dc.subjectHIGH WAGES
dc.subjectINCOME
dc.subjectINCREASING RETURNS
dc.subjectINCREASING RETURNS TO SCALE
dc.subjectINDEXES
dc.subjectINTEGRATION
dc.subjectINTERNATIONAL COMPETITION
dc.subjectINTERNATIONAL ECONOMICS
dc.subjectINTERNATIONAL PRODUCTION
dc.subjectINTERNATIONAL TRADE
dc.subjectLABOR DEMAND
dc.subjectLABOR ECONOMICS
dc.subjectLABOR MARKET
dc.subjectLABOR MARKETS
dc.subjectLABOR PRODUCTIVITY
dc.subjectMONOPOLISTIC COMPETITION
dc.subjectMULTIPLE EQUILIBRIA
dc.subjectNASH EQUILIBRIUM
dc.subjectNEGATIVE EXTERNALITY
dc.subjectOCCUPATIONS
dc.subjectOUTPUTS
dc.subjectOUTSOURCING
dc.subjectPOLITICAL ECONOMY
dc.subjectPOLITICAL ECONOMY OF TRADE
dc.subjectPOLITICAL ECONOMY OF TRADE POLICY
dc.subjectPRICE DISCRIMINATION
dc.subjectPRODUCTION COSTS
dc.subjectPRODUCTIVITY
dc.subjectSAVINGS
dc.subjectSOURCING
dc.subjectSPECIALIZATION
dc.subjectSUPPLIERS
dc.subjectTRADE IN GOODS
dc.subjectTRADE MODEL
dc.subjectTRADE MODELS
dc.subjectTRADE POLICY
dc.subjectVALUE ADDED
dc.subjectWAGE RATES
dc.subjectWAGE STRUCTURE
dc.subjectWAGES
dc.subjectWORLD TRADE
dc.subjectWORLD TRADE ORGANIZATION
dc.subjectWTO
dc.titleTask Trade between Similar Countries

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