Migration, Foreign Outsourcing and Firms Dynamics: Which Links?
The main objective of this project is to obtain a detailed geographical and temporal decomposition of the change in the supply of tasks that allows us to evaluate the inter-industry (Rybczynski-type) vs. intra-industry adjustments and inter-firm vs. intra-firm changes.
When considering methods to exogenize the changes in the supply of tasks over time and over space (e.g. by considering national programs of forced migrants' distribution that occurred in Sweden in the mid-1980s), our analysis can shed some lights on the complementarity between migration and different firms' characteristics and activity. For instance, whether the higher supply of simple tasks coming from migrants lessens firms' outsourcing or encourage innovation.
The decomposition is applied on a detailed Swedish dataset that includes both firms' and workers' characteristics.