This paper evaluates the differential impact of Out- ward Processing Traffic (OPT) flows with respect to the final tra- de flows on the labour markets of EU countries in the 1990s. In particular, two EU countries are investigated, Germany and Italy, because of their relevance on total EU-CEECs OPT flows and because they embody two different models of outsourcing towards CEECs. The factor content of trade (FCT) analysis conducted at both levels of inter-industry trade and intra-industry trade signals a more relevant impact of OPT flows than final flows. In particular, results suggest that the labour market effects of intra-industry trade flows deriving from the vertical disintegration of production add significantly to the estimated factor market impact of trade.
Global Value Chain Disintegration and the Labour Market Effects of International Trade. The lesson of OPT between the EU and the CEECs in the 1990s
CELI, GIUSEPPE
2015-01-01
Abstract
This paper evaluates the differential impact of Out- ward Processing Traffic (OPT) flows with respect to the final tra- de flows on the labour markets of EU countries in the 1990s. In particular, two EU countries are investigated, Germany and Italy, because of their relevance on total EU-CEECs OPT flows and because they embody two different models of outsourcing towards CEECs. The factor content of trade (FCT) analysis conducted at both levels of inter-industry trade and intra-industry trade signals a more relevant impact of OPT flows than final flows. In particular, results suggest that the labour market effects of intra-industry trade flows deriving from the vertical disintegration of production add significantly to the estimated factor market impact of trade.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
