2023-09-28 14:46:10 +00:00
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abstract: 'The paper investigates the consequences of outsourcing of labor
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intensive activities to low-wage economies. This trend challenges the
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two basic functions of the welfare state, redistribution and social
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insurance when private unemployment insurance markets are missing. The
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main results are: (i) outsourcing raises unemployment and labor income
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risk of unskilled workers; (ii) it increases inequality between high-
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and low-income groups; and (iii) the gains from outsourcing can be made
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Pareto improving by using a redistributive linear income tax if
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redistribution is initially not too large. We finally derive the welfare
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optimal redistribution and unemployment insurance policies. (C) 2009
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Elsevier B.V. All rights reserved.'
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affiliation: 'Keuschnigg, C (Corresponding Author), Univ St Gallen, IFF HSG, Varnbuelstr
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19, CH-9000 St Gallen, Switzerland.
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Keuschnigg, Christian; Ribi, Evelyn, Univ St Gallen, IFF HSG, CH-9000 St Gallen,
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Switzerland.
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Keuschnigg, Christian, CEPR, London, England.
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Keuschnigg, Christian, CESifo, Munich, Germany.'
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author: Keuschnigg, Christian and Ribi, Evelyn
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author-email: 'christian.keuschnigg@unisg.ch
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evelyn.ribi@unisg.ch'
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author_list:
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- family: Keuschnigg
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given: Christian
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- family: Ribi
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given: Evelyn
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da: '2023-09-28'
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doi: 10.1016/j.jinteco.2009.02.001
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files: []
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issn: 0022-1996
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journal: JOURNAL OF INTERNATIONAL ECONOMICS
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keywords: Outsourcing; Unemployment; Social insurance; Redistribution
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keywords-plus: 'TRADE LIBERALIZATION; RESERVATION WAGES; SIZE DISTRIBUTION; INSURANCE;
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SEARCH; EMPLOYMENT; GLOBALIZATION; TAXATION; IMPACT; LEVEL'
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language: English
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month: JUN
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number: '1'
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number-of-cited-references: '44'
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orcid-numbers: Keuschnigg, Christian/0000-0003-4924-7859
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pages: 168-176
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papis_id: 5fb3e9ff8bf9df54c3da9b0419baaab0
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ref: Keuschnigg2009outsourcingunemploym
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times-cited: '25'
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title: Outsourcing, unemployment and welfare policy
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2023-10-01 08:15:07 +00:00
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type: article
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2023-09-28 14:46:10 +00:00
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unique-id: WOS:000266845900015
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usage-count-last-180-days: '1'
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usage-count-since-2013: '26'
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volume: '78'
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web-of-science-categories: Economics
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year: '2009'
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