국회도서관 국가전략정보포털

Title page

Contents

Abstract 2

1. Introduction 3

2. Prevalence of domestic outsourcing in U.S. manufacturing 7

2.1. Data 7

2.2. Domestic outsourcing in the cross-section 8

2.3. Domestic outsourcing over time 11

3. Plant-level labor responsiveness 13

3.1. Plant-level outsourced employment from reported expenses 14

3.2. Outsourced employment and revenue productivity changes 15

4. Secular decline in aggregate job reallocations 19

5. Conclusion 24

References 26

A. Appendix 30

Table I. Older, bigger, and high-tech establishments are more likely to spend on outsourced labor; conditional on doing so, however, younger, smaller,... 9

Table II. Plant-level outsourced employment growth is twice as responsive as payroll employment growth to revenue productivity shocks and adjusts... 18

Table III. Outsourced employment growth is more responsive than payroll employment growth 19

Table IV. The omitted reallocations problem is sizeable and varies significantly over time 21

Figure 1. The share of client plants increases with revenue growth. The increase flattens after the median 10

Figure 2. There is a U-shaped relationship between the share of revenue spent on outsourced staff and revenue growth 11

Figure 3. The average manufacturing plant increased the outsourced labor share by 85% between 2006 and 2017 12

Figure 4. Outsourced employment share of revenue is increasing, whereas payroll employment share of revenue remained roughly constant 13

Figure 5. Plant-level outsourced employment growth is twice as responsive as payroll employment growth to revenue productivity shocks and adjusts... 17

Figure 6. Aggregate job flows mismeasurement varies with the cycle. The share of omitted jobs created dropped entering the Great Recession and... 23

Figure 7. The destruction of jobs filled by outsourced workers accounts for most of the omitted reallocations in plants with negative revenue growth,... 24

Table A.1. The use of domestic outsourcing varies greatly across three-digit manufacturing industries 30

Table A.2. Industry of Assignment Distribution of Temporary Help Workers 31

Figure A.1. The use of domestic outsourcing dramatically increased in the 1990s 32

Figure A.2. The job reallocation rate in manufacturing has declined 40% since 1993 33

Figure A.3. The share of revenue spent on temporary and leased staff by the average establishment increased by 86% between 2006 and 2017 34

Figure A.4. Outsourced labor share along plant-level revenue growth for all establishments 35

Figure A.5. The manufacturing sector created more outsourced jobs than it destroyed 36

Figure A.6. The qualitative relationship between outsourced employment growth and revenue growth exhibits more variation than that of payroll employment 37