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  1. On trade policy preference and offshoring ties
    Erschienen: December 2022
    Verlag:  IZA - Institute of Labor Economics, Bonn, Germany

    This paper unpacks the role of the domestic content of imports as a novel source of policy interdependence along the global supply chain. We show how a rise in local contents embodied in imports can skew national trade policy preferences, and pull... mehr

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    This paper unpacks the role of the domestic content of imports as a novel source of policy interdependence along the global supply chain. We show how a rise in local contents embodied in imports can skew national trade policy preferences, and pull upstream and downstream countries in asymmetric ways with respect to (i) the nature of unilaterally optimal trade policy prescriptions, and (ii) the attractiveness of leveraging market access-based dispute settlement procedures. We discuss the pros and cons of deep trade integration as a remedy, involving well-enforced labor standards both upstream and downstream as an integral part of trade agreements.

     

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    hdl: 10419/272409
    Schriftenreihe: Discussion paper series / IZA ; no. 15782
    Schlagworte: offshoring; dispute settlement reciprocity; labor standards
    Umfang: 1 Online-Ressource (circa 39 Seiten), Illustrationen
  2. Offshoring to a developing nation with a dual labor market
    Erschienen: June 2020
    Verlag:  IZA - Institute of Labor Economics, Bonn, Germany

    We present a model of offshoring of tasks to a developing nation, which is characterized by a minimum wage formal sector and a flexible wage informal sector. Some offshored tasks are outsourced by the formal sector to the lower wage informal sector.... mehr

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    We present a model of offshoring of tasks to a developing nation, which is characterized by a minimum wage formal sector and a flexible wage informal sector. Some offshored tasks are outsourced by the formal sector to the lower wage informal sector. An improvement in the productivity in performing offshored tasks in the developing country raises offshoring, but not necessarily formal-to-informal outsourcing, and, in response, the developed nation wage can fall. Productivity improvements in the informal sector expand both offshoring and outsourcing, and the developed nation wage must rise. When the minimum wage is reduced, the developed nation wage falls when most of the efficiency gains accrue to the informal sector.

     

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    hdl: 10419/223862
    Schriftenreihe: Discussion paper series / IZA ; no. 13420
    Umfang: 1 Online-Ressource (circa 26 Seiten), Illustrationen
  3. Endogenous export subsidies and welfare under domestic cost heterogeneity
    Erschienen: 1999
    Verlag:  Federal Reserve Bank of St. Louis, St. Louis, MO

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    Schriftenreihe: Research Division working papers ; 99,017A
    Schlagworte: Exportsubvention; Duopol; Internationaler Markt; Kosten; Wohlfahrtsanalyse; Interessenpolitik; Theorie
    Umfang: 15, [1] Bl., graph. Darst
  4. Foreign aid as counterterrorism policy
    Erschienen: 2009
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2009,021
    Schlagworte: Entwicklungshilfe; Terrorismus; Öffentliche Sicherheit; Spieltheorie; Theorie
    Umfang: Online-Ressource (29 S.), graph. Darst.
  5. Does democracy reduce terrorism in developing nations?
    Erschienen: 2009
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2009,023
    Umfang: Online-Ressource (27 S.), graph. Darst.
  6. Biofuel subsidies
    an open-economy analysis
    Erschienen: 2009
    Verlag:  IZA, Bonn

    We present a general equilibrium analysis of biofuel subsidies in an open-economy context. In the small-country case, when a Pigouvian tax on conventional fuels such as crude is in place, the optimal biofuel subsidy is zero. When the tax on crude is... mehr

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    We present a general equilibrium analysis of biofuel subsidies in an open-economy context. In the small-country case, when a Pigouvian tax on conventional fuels such as crude is in place, the optimal biofuel subsidy is zero. When the tax on crude is not available as a policy option, however, a second-best biofuel subsidy (or tax) is optimal. In the large-country case, the optimal tax on crude departs from its standard Pigouvian level and a biofuel subsidy is optimal. A biofuel subsidy spurs global demand for food and confers a terms-of-trade benefit to the food-exporting nation. This might encourage the food-exporting nation to use a subsidy even if it raises global crude use. The food importer has no such incentive for subsidization. Terms-of-trade effects wash out between trading nations; hence, any policy intervention by the two trading nations that raises crude use must be jointly suboptimal. -- Optimal biofuel subsidy ; Pigouvian tax ; terms-of-trade ; pollution externality

     

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    hdl: 10419/35888
    Schriftenreihe: Discussion paper series / Forschungsinstitut zur Zukunft der Arbeit ; 4584
    Schlagworte: Biokraftstoff; Subvention; Internalisierung externer Effekte; Optimale Besteuerung; Allgemeines Gleichgewicht; Offene Volkswirtschaft; Terms of Trade; Theorie
    Umfang: Online-Ressource (25 S.)
  7. Foreign direct investment, aid, and terrorism
    an analysis of developing countries
    Erschienen: 2011
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

    Using a dynamic panel data framework, we investigate the relationship between the two major forms of terrorism and foreign direct investment (FDI). We then analyze how these relationships are affected by foreign aid flows. The analysis focuses on 78... mehr

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    Using a dynamic panel data framework, we investigate the relationship between the two major forms of terrorism and foreign direct investment (FDI). We then analyze how these relationships are affected by foreign aid flows. The analysis focuses on 78 developing countries for 1984- 2008. Our findings suggest that all types of terrorism depress FDI. In addition, aid mitigates the negative effects of total and domestic terrorism on FDI; however, this is not the case for transnational terrorism. This finding highlights that different forms of terrorism call for tailoring mitigating strategies. Foreign aid apparently cannot address the causes and supply lines of transnational terrorism. Aid’s ability to curb the risk to FDI for total and domestic terrorism is extremely important because (i) domestic terrorism is an overwhelming fraction of the total terrorism for many developing nations, and (ii) FDI is an important engine of development for these nations.

     

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2011,004
    Umfang: Online-Ressource (PDF-Datei: 34 S., 186,38 KB), graph. Darst.
  8. Lobbying for a common external tariff from inside and out
    Erschienen: 2012
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2012-061
    Umfang: Online-Ressource
  9. Should easier access to international credit replace foreign aid?
    Erschienen: 2011
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

    We examine the interaction between foreign aid and binding borrowing constraint for a recipient country. We also analyze how these two instruments affect economic growth via non-linear relationships. First of all, we develop a two-country, two-period... mehr

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    We examine the interaction between foreign aid and binding borrowing constraint for a recipient country. We also analyze how these two instruments affect economic growth via non-linear relationships. First of all, we develop a two-country, two-period trade-theoretic model to develop testable hypotheses and then we use dynamic panel analysis to test those hypotheses empirically. Our main findings are that: (i) better access to international credit for a recipient country reduces the amount of foreign aid it receives, and (ii) there is a critical level of international financial transfer, and the marginal effect of foreign aid is larger than that of loans if and only if the transfer (loans or foreign aid) is below this critical level.

     

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2011-023
    Schlagworte: Internationale Finanzhilfe; Internationaler Kredit; Liquiditätsbeschränkung; Wirtschaftswachstum; Theorie; Schätzung; Welt
    Umfang: Online-Ressource (PDF-Datei: 41 S., 253,01 KB)
  10. Financing growth
    foreign aid vs. foreign loans
    Erschienen: 2013
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2013-031
    Umfang: Online Resource (29 S.), graph. Darst.
  11. Illegal immigration and fiscal competition
    Erschienen: 2014
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2014-030
    Umfang: Online Resource (42 S.), graph. Darst.
  12. An evaluation of the employment effects of barriers to outsourcing
    Erschienen: 2010
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2010,030
    Schlagworte: Outsourcing; Auslandsverlagerung; Steuer; Steuerwirkung; Beschäftigungseffekt; Oligopol; Internationaler Wettbewerb; Produktdifferenzierung; Theorie; USA
    Umfang: Online-Ressource (27 S.), graph. Darst.
  13. Should easier access to international credit replace foreign aid?
    Erschienen: 2011
    Verlag:  IZA, Bonn

    We examine the interaction between foreign aid and binding borrowing constraint for a recipient country. We also analyze how these two instruments affect economic growth via non-linear relationships. First of all, we develop a two-country, two-period... mehr

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    We examine the interaction between foreign aid and binding borrowing constraint for a recipient country. We also analyze how these two instruments affect economic growth via non-linear relationships. First of all, we develop a two-country, two-period trade-theoretic model to develop testable hypotheses and then we use dynamic panel analysis to test those hypotheses empirically. Our main findings are that: (i) better access to international credit for a recipient country reduces the amount of foreign aid it receives, and (ii) there is a critical level of international financial transfer, and the marginal effect of foreign aid is larger than that of loans if and only if the transfer (loans or foreign aid) is below this critical level. -- foreign aid ; foreign loans ; borrowing constraint ; economic growth ; fungibility ; public input

     

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    Schriftenreihe: Discussion paper series / Forschungsinstitut zur Zukunft der Arbeit ; 6024
    Schlagworte: Internationale Finanzhilfe; Internationaler Kredit; Liquiditätsbeschränkung; Wirtschaftswachstum; Theorie; Schätzung; Welt
    Umfang: Online-Ressource (PDF-Datei: 41 S., 297,71 KB)
  14. Foreign aid, illegal immigration, and host country welfare
    Erschienen: 2012
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2012-007
    Umfang: Online-Ressource (26 S., 217,70 KB), graph. Darst.
  15. Biofuel subsidies
    an open-economy analysis
    Erschienen: 2009
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2009,053
    Umfang: Online-Ressource (25 S.)
  16. Incidence of an outsourcing tax on intermediate inputs
    Erschienen: 2009
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2009,039
    Schlagworte: Steuerinzidenz; Outsourcing; Vorleistungen; Faktorintensität; Theorie
    Umfang: Online-Ressource (9 S.)
  17. Cross-border lobbying in preferential trading agreements
    implications for external tariffs
    Erschienen: 2009
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2009,041
    Schlagworte: Zollpolitik; Interessenpolitik; Zollpräferenzen; Freihandelsabkommen; Zollunion; Theorie
    Umfang: Online-Ressource (24 S.)
  18. Immigration and outsourcing
    a general equilibrium analysis
    Erschienen: 2006
    Verlag:  West Virginia Univ., Dep. of Economics, Morgantown, W Va.

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    Schriftenreihe: Working papers / West Virginia University, Department of Economics ; 06,15
    Schlagworte: Einwanderung; Outsourcing; Faktormobilität; Illegale Migration; Migrationspolitik; Allgemeines Gleichgewicht; Theorie
    Umfang: Online-Ressource (22 S.), graph. Darst.
  19. On the substitutability between foreign aid and international credit
    Erschienen: 2012
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2012-043
    Umfang: Online-Ressource (7 S., 303,09 KB), graph. Darst.
  20. An evaluation of the employment effects of barriers to outsourcing
    Erschienen: 2011
    Verlag:  IZA, Bonn

    Barriers to outsourcing that are being currently implemented in the US effectively tax its companies who "export" jobs through outsourcing. The objective is to raise domestic employment. Given that many of the important international markets where... mehr

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    Barriers to outsourcing that are being currently implemented in the US effectively tax its companies who "export" jobs through outsourcing. The objective is to raise domestic employment. Given that many of the important international markets where the US has a comparative advantage feature non-atomistic firms, we evaluate the implications of such policies in an oligopolistic context. We find that while an outsourcing tax favors domestic workers by causing firms to switch to a greater use of domestic sources (the substitution effect), the loss in international competitiveness has a negative volume effect (the output effect), which pulls in the other direction. First, we identify the conditions that determine the relative strengths of these effects, which inform us about the conditions under which such a tax achieves its stated objective. Next, we consider the international policy interdependence that arises when a competing nation also engages in such a policy. An interesting finding is that even if a unilateral tax by the US raises its employment, this may turn around in a Nash policy equilibrium, where the competing nation abandons free trade and also engages in unilateral outsourcing policies. Finally, we extend the basic model to look at the effects of credit shortage and product differentiation. Interesting findings are that both a credit crisis (as in recent years) and increased product differentiation tend to worsen the employment effects of the outsourcing tax. The qualitative nature of our findings is similar between Cournot and Bertrand competition, suggesting that our results are robust to the mode of strategic behavior. -- outsourcing tax ; employment effects ; oligopolistic competition ; product differentiation

     

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    Schriftenreihe: Discussion paper series / Forschungsinstitut zur Zukunft der Arbeit ; 5426
    Schlagworte: Outsourcing; Auslandsverlagerung; Steuer; Steuerwirkung; Beschäftigungseffekt; Oligopol; Internationaler Wettbewerb; Produktdifferenzierung; Theorie; USA
    Umfang: Online-Ressource (PDF-Datei: 27 S., 248,66 KB), graph. Darst.
  21. Immigration policy and counterterrorism
    Erschienen: 2011
    Verlag:  Federal Reserve Bank of St. Louis, Research Division, St. Louis, Mo.

    A terrorist group, based in a developing (host) country, draws unskilled and skilled labor from the productive sector to conduct attacks at home and abroad. The host nation chooses proactive countermeasures, while accounting for the terrorist... mehr

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    A terrorist group, based in a developing (host) country, draws unskilled and skilled labor from the productive sector to conduct attacks at home and abroad. The host nation chooses proactive countermeasures, while accounting for the terrorist campaign. Moreover, a targeted developed nation decides its optimal mix of immigration quotas and defensive counterterrorism actions. Even though proactive measures in the host country may not curb terrorism at home, it may still be advantageous in terms of national income. Increases in the unskilled immigration quota augment terrorism against the developed country; increases in the skilled immigration quota may or may not raise terrorism against the developed country. When the developed country assumes a leadership role, it strategically augments its terrorism defenses and reduces its unskilled immigration quota to induce more proactive measures in the host country. The influence of leadership on the skilled immigration quota is more nuanced.

     

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    Schriftenreihe: Working paper series / Federal Reserve Bank of St. Louis, Research Division ; 2011-012
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  22. Illegal immigration and fiscal competition
    Erschienen: 2015
    Verlag:  IZA, Bonn

    Reflecting recent enforcement policy activism of US states, this paper examines federal-state overlap of illegal immigration policy in a spatial context. Keeping the US-Mexico context in mind, we assume that labor from a source nation enters a host... mehr

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    Reflecting recent enforcement policy activism of US states, this paper examines federal-state overlap of illegal immigration policy in a spatial context. Keeping the US-Mexico context in mind, we assume that labor from a source nation enters a host nation through bordering states. Once in the host, illegal immigrants may stay in the state of entry or move to another state. The host nation's federal government and/or the state governments choose border and internal enforcement policies, and also provide local goods. As a benchmark, we define the completely centralized solution as the case where the federal government chooses all the policies, while the state governments are passive. At higher levels of decentralization (i.e., as states take more responsibility in deciding some of the policies), the overlap of federal and state policies is associated with both vertical and horizontal externalities. Among other results, we find that if inter-state mobility is costless, internal enforcement is overprovided, and border enforcement and local goods are under-provided under decentralization, leading to relatively high levels of illegal immigration. While inter-state migration costs moderate such overprovision/under-provision, extreme levels of inter-state immobility may lead to too little illegal immigration, and an overprovision of local goods.

     

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    Schriftenreihe: Discussion paper series / Forschungsinstitut zur Zukunft der Arbeit ; 9061
    Umfang: Online-Ressource (45 S.), graph. Darst.
  23. Determinants of trade margins
    insights using state export data
    Erschienen: 2015
    Verlag:  IZA, Bonn

    We adapt the heterogeneous firm trade models of Helpman, Melitz, and Rubinstein (2008) and Lawless (2010) to analyze extensive and intensive trade margins using state-level exports to foreign nations. Our theoretical analysis provides definitive... mehr

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    We adapt the heterogeneous firm trade models of Helpman, Melitz, and Rubinstein (2008) and Lawless (2010) to analyze extensive and intensive trade margins using state-level exports to foreign nations. Our theoretical analysis provides definitive predictions for the effects of changes in fixed costs, variable costs, and foreign income on the extensive margin, while for the intensive margin the predictions regarding changes in fixed costs are definitive, but the effects of changes in variable costs and foreign income are not. The number of exporting firms of a state is used to measure the extensive margin, while the intensive margin is approximated by the average firm exports of a state. Various count-data models, such as the standard negative binomial and its hurdle extension, are used to address non-trading pairs and overdispersion in the extensive trade estimations, while a Heckman correction is examined to handle sample selection issues in the intensive margin estimations. As the theory predicts, we find more consistent and statistically significant effects of changes in cost-related variables on the extensive than on the intensive margin of trade. Unlike Lawless (2010), but consistent with a truncated Pareto distribution, empirical findings suggest that variable costs reduce average exports. A noteworthy finding is that U.S. foreign direct investment has a positive effect on both margins.

     

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    Quelle: Verbundkataloge
    Sprache: Englisch
    Medientyp: Buch (Monographie)
    Format: Online
    Weitere Identifier:
    hdl: 10419/125041
    Schriftenreihe: Discussion paper series / Forschungsinstitut zur Zukunft der Arbeit ; 9520
    Umfang: Online-Ressource (39 S.), graph. Darst.
  24. Customs union or free trade area?
    the role of political asymmetries
    Erschienen: 1995
    Verlag:  Dep. of Economics, Birkbeck College, London

    ZBW - Leibniz-Informationszentrum Wirtschaft, Standort Kiel
    W 90 (95.4)
    uneingeschränkte Fernleihe, Kopie und Ausleihe
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    Sprache: Englisch
    Medientyp: Buch (Monographie)
    Format: Druck
    Schriftenreihe: Discussion paper in economics / Birkbeck College, University of London ; 95,4
    Schlagworte: Freihandelsabkommen; Zollunion; Interessenpolitik; Wohlfahrtsökonomik; Theorie
    Umfang: 13 S., graph. Darst.
  25. Disentangling the wage impacts of offshoring on a developing country
    theory and policy
    Erschienen: May 2016
    Verlag:  IZA, Bonn, Germany

    The various channels through which a reduction in the cost of offshoring can improve wages in a developed country are by now well understood. But does a similar reduction in the offshoring cost also benefit workers in the world's factories in... mehr

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    DS 4 (9973)
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    The various channels through which a reduction in the cost of offshoring can improve wages in a developed country are by now well understood. But does a similar reduction in the offshoring cost also benefit workers in the world's factories in developing countries? Using a parsimonious two-country model of offshoring we find very nuanced results. These include cases where wages monotonically improve or worsen as well as those where wages exhibit an inverted U-shaped relationship in response to parametric reductions in the cost of offshoring. We identify qualitative conditions under which wages and welfare increase or decrease in the developing world as a result of a reduction in offshoring costs. Since global welfare always rises with an improvement in offshoring technology, we find that there is a role for a wage tax or a minimum wage in the developing country. We derive the optimal levels of such policies.

     

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    Quelle: Verbundkataloge
    Sprache: Englisch
    Medientyp: Buch (Monographie)
    Format: Online
    Weitere Identifier:
    hdl: 10419/142412
    Schriftenreihe: Discussion paper / IZA ; no. 9973
    Schlagworte: Auslandsverlagerung; Entwicklungsländer; Lohnniveau; Lohnsteuer; Mindestlohn; Wohlfahrtsanalyse; Terms of Trade; Zwei-Länder-Modell; Theorie
    Umfang: 1 Online-Ressource (circa 31 Seiten), Illustrationen