Determinants of Offshore Assembly in Developing and Developed Countries

Document Type

Article

Publication Date

12-1-1993

Department

Economic and Workforce Development

Abstract

This paper identifies industry-specific characteristics which-influence the likelihood a particular U.S. industry will take advantage of offshore assembly provisions in the U.S. tariff code by establishing production facilities in either developing or developed countries. The decision to use offshore assembly operations is shown to be influenced by comparative advantage forces, policy-oriented and natural trade barriers, and by the degree of import competition in the home market.

Publication Title

Social Science Quarterly

Volume

74

Issue

4

First Page

771

Last Page

782

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