Journal Article

Global Engagement, Complex Tasks, and the Distribution of Occupational Employment

Review of International Economics, 24(4): 717-736

We construct a task-based model of the firm’s choice of occupational inputs to examine how that choice varies with greater global engagement. We assume that more complex tasks are more costly to complete. Within the structure of our model, firms skew employment toward occupations engaged in more complex tasks. Moreover, the distribution of employment is more skewed for more globalized firms, while it is less skewed for larger firms. These results are consistent with our previous empirical finding.

Authors

Carl Davidson
Fredrik Heyman
Steven Matusz
Fredrik Sjöholm
Susan Chun Zhu

Info

Publication Date
JEL Classification
F10;F16;F66
DOI
10.1111/roie.12235