Services input intensity and US manufacturing employment responses to the China shock

Author(s)
Omar Bamieh, Matteo Fiorini, Bernard Hoekman, Adam Jakubik
Abstract

We present industry-level evidence that manufacturing sectors that make use of services as inputs more intensively are more robust to shocks from import competition. Specifically, the negative effect of the China shock on US manufacturing employment is lower for industries with high services input intensity. Furthermore, our analysis reveals significant heterogeneity in the impact of different types of services, which points towards a fruitful research agenda on the role of services as a determinant of firm competitiveness.

Organisation(s)
Department of Economics
External organisation(s)
European University Institute (EUI), World Trade Organization
Journal
Review of Industrial Organization
Volume
57
Pages
333-349
No. of pages
17
ISSN
0889-938X
DOI
https://doi.org/10.1007/s11151-020-09770-2
Publication date
09-2020
Peer reviewed
Yes
Austrian Fields of Science 2012
502046 Economic policy
Keywords
ASJC Scopus subject areas
Economics and Econometrics, Management of Technology and Innovation, Organizational Behavior and Human Resource Management, Strategy and Management
Portal url
https://ucris.univie.ac.at/portal/en/publications/services-input-intensity-and-us-manufacturing-employment-responses-to-the-china-shock(c87b2965-acbe-432f-b0e4-e11cdcb68286).html