The practice of offshoring—moving some of a company’s manufacturing or services overseas to take advantage of lower costs—is on the rise and is a source of ongoing debate. A new study identified a way to determine how U.S. multinational firms’ decisions about offshoring affect domestic employment. The study found that, on average, when U.S. multinationals increase employment in their foreign affiliates, they also modestly increase employment in the United States—albeit with substantial dislocation and reallocation of workers.
Click here for original story, Study analyzed tax treaties to assess effect of offshoring on domestic employment
Source: Phys.org