DP7523 | Integration of the North American economy and new-paradigm globalisation

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25/10/2009

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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.