@techreport{NBERw11184, title = "Outsourcing Price Decisions: Evidence from U.S. 9802 Imports", author = "Deborah Swenson", institution = "National Bureau of Economic Research", type = "Working Paper", series = "Working Paper Series", number = "11184", year = "2005", month = "March", URL = "http://www.nber.org/papers/w11184", abstract = {This paper studies U.S. overseas assembly imports to identify whether factors related to information or search costs appear to condition outsourcing decisions. The data for 1991-2000 show that U.S. overseas assembly imports were characterized by incomplete pass-through of production and trade costs to import prices, though products assembled in more highly educated countries passed-through a much larger portion of their cost changes. In addition, the price of outsourcing imports responded to competing suppliers' prices, with the largest responses occurring for products in capital-intense industries. These differential price responses suggest that information issues play an important role in the mediation of outsourcing relationships.}, }