Working Paper: CEPR ID: DP7523
Authors: Richard Baldwin
Abstract: This paper presents the trade-in-tasks conceptual framework and extends it to consider a setting where offshoring occurs between high wage nations and where agglomeration forces are important. It also considers the policy implications ranging from rules of origin and trade facilitation to external trade policy and R&D subsidies. The focus is on policy initiatives that could support the development of North American production platforms.
Keywords: globalisation; industrial policy; supply chains; trade in tasks; unbundling
JEL Codes: F14; F21; L5
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Falling trade costs (F12) | Competitiveness of Canadian sectors (N12) |
| Falling trade costs (F12) | Productivity ratios of sectors (E23) |
| Globalization (F60) | Sectoral impacts (F69) |
| Trade-in-tasks framework (F16) | Policy implications for Canada (O51) |