• DOI:10.1162/003355399556179
Corpus ID: 18300805

The Impact of Outsourcing and High-Technology Capital on Wages: Estimates For the United States, 1979–1990

@article{Feenstra1999TheIO,
  title={The Impact of Outsourcing and High-Technology Capital on Wages: Estimates For the United States, 1979–1990},
  author={R. Feenstra and G. Hanson},
  journal={Quarterly Journal of Economics},
  year={1999},
  volume={114},
  pages={907-940}
}

R. Feenstra, G. Hanson

Published 1999

Economics

Quarterly Journal of Economics

We estimate the relative influence of trade versus technology on wages in a "large-country" setting, where technological change affects product prices. Trade is measured by the foreign outsourcing of intermediate inputs, while technological change is measured by expenditures on high-technology capital such as computers. The estimation procedure we develop, which modifies the conventional "price regression," is able to distinguish whether product price changes are due to factor-biased versus… CONTINUE READING

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