Global Network and Outsourcing

The increasing pace of globalization is greatly changing the character of the international division of labor in both inter- and intra-firm transactions. It has been pointed out that as European market integration evolves, international competitiveness tends to lie within certain tasks of a company, rather than at the industry or firm level. This fragmentation of the international division of labor will reduce predictability and have a significant impact on economic policy.

In Asia, international operations of Japanese manufacturing firms are rapidly developing. How far and rapidly their research and development functions will be outsourced offshore will have severe ramifications on the future course of the Japanese economy. It is imperative, therefore, to deepen understanding of this aspect of the economy and to discuss its policy implications.

In tackling this complex and provocative subject, RIETI is pleased to announce its second international joint seminar with the Centre for Economic Policy and Research (CEPR), the prominent European think-tank. Leading scholars from the CEPR and RIETI will present their most recent findings and discuss the resultant policy implications.