International outsourcing and the skill-specific Wage Bill in Eastern Europe

Article Abstract:

The phenomenon of outsourcing from industrial economies to developing economies and its effects on the latterEs labour markets are examined. The influence of international outsourcing on the skilled-to-unskilled wage bill ratio in the Czech Republic, Hungary and Poland is studied; the short- and long-term effects of outsourcing with regard to intermediate goods exports of 14 manufacturing industries in these three countries are analysed. The one-sector, endowment-based model of outsourcing used shows that intermediate goods exports and imports substantiate unskilled labour in terms of wage bill development. The implications of the study in order to garner maximum gains from specialisation are discussed.

Czech Republic, Influence, Labor market, Outsourcing, Economies of scale, Labour market

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Assessing the Benefits of Trade Facilitation: A Global Perspective

Article Abstract:

Four measures are used to analyze the relationship between trade flows and trade facilitation: customs environment, e-business infrastructure, regulatory environments and air and maritime port infrastructure. Findings indicate that raising global capacity in these four areas to the international average would create a $377 billion trade increase; implications are discussed.

International aspects, Trade policy, Commercial policy

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The Determinants of EU Processing Trade

Article Abstract:

Data from 1988 to 1999 bilateral processing trade flows in 12 nations of the European Union show that infrastructure variables, other cost variables, and relative factor endowments are key factors in determining the outward processing trade for the EU. Costs are also important determinants for inward processing trade for the EU.

Foreign trade, European Union

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