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We investigate the role of a firm's total factor productivity in its decision to import from their affiliates rather than from independent input suppliers. We propose a slightly modified version of the Antràs and Helpman (2004) model. We assume higher fixed costs under outsourcing and a firm-specific production function. We use detailed French firm-level data that provides a geographical breakdown of French firms' import at product level and their sourcing modes in 1999. We find strong empirical support for the theoretical predictions of the model. In particular, high-productivity firms that have a production process intensive in suppliers' inputs source their inputs through independent foreign suppliers.
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Productivity and the sourcing modes of multinational firms: evidence from French firm-level data
2007, Centre for Economic Performance, London School of Economics and Political Science
Electronic resource
in English
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Book Details
Published in
London
Edition Notes
Title from PDF file (viewed on Oct. 10, 2008).
"December 2007."
Includes bibliographical references.
Also available in print.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.
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- Created December 4, 2008
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December 22, 2020 | Edited by MARC Bot | import existing book |
July 29, 2012 | Edited by VacuumBot | Updated format '[electronic resource] :' to 'Electronic resource' |
December 15, 2009 | Edited by WorkBot | link works |
December 4, 2008 | Created by ImportBot | Imported from Library of Congress MARC record. |