Paper Info
Title
Economic Integration, IT Intensity and the Aggregate Economic Impacts of IT Services Offshoring
Abstract
This study examines the economic contributions of offshore IT outsourcing (or IT offshoring for short) by using an extended Cobb-Douglas production function, and a panel data set from 20 OECD countries over the 2000 to 2006 period. Our analysis indicates that IT offshoring has made a positive and significant contribution to national productivity. Previous research on IT offshoring has relied on case studies and practitioners' perceptions. In addition, our analysis supports the idea of economic integration. Thus, it sheds some light on the debate about whether IT offshoring is harmful or beneficial to a national economy. We also investigate total factor productivity and the moderating effect of IT intensity on the degree and impacts of IT offshoring. We apply feasible generalized least squares and the Durbin-Wu-Hausman endogeneity test to handle context-specific estimation issues. The results suggest that to reap greater value from IT offshoring, developed countries need to establish IT capabilities by investing in IT capital.
Year
DOI
Venue
2010
10.1109/HICSS.2010.167
HICSS
Keywords
Field
DocType
it capability,it offshoring,offshore it outsourcing,information technology,it capital,economic integration,it services offshoring,least squares approximations,outsourcing,national productivity,it intensity,generalized least squares,aggregate economic impacts,durbin-wu-hausman endogeneity test,national economy,total factor productivity,economic contribution,extended cobb-douglas production function,economic impact,it outsourcing,panel data,economics,productivity,developing country
Panel data,Offshoring,Endogeneity,Economics,Economic impact analysis,Economic integration,Information technology,Outsourcing,Knowledge management,Industrial organization,Labour economics,Total factor productivity
Conference
ISSN
ISBN
Citations 
1530-1605 E-ISBN : 978-1-4244-5510-2
978-1-4244-5510-2
0
PageRank 
References 
Authors
0.34
12
2
Name
Order
Citations
PageRank
Yen-Chun Chou1112.54
Robert J. Kauffman23467349.99