The Factory-Free Economy: Outsourcing, Servitization, and the Future of Industry by Lionel FontagneThe Factory-Free Economy: Outsourcing, Servitization, and the Future of Industry by Lionel Fontagne

The Factory-Free Economy: Outsourcing, Servitization, and the Future of Industry

EditorLionel Fontagne, Ann Harrison

Hardcover | April 15, 2017

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De-industrialization, accelerated by the financial crisis, is a long term process. The comparative advantage of emerging economies shifted towards more advanced goods and their growing populations commanded an increasing share in global demand. This shift towards a factory-free economy in highincome countries has drawn the attention of policy makers in North America and Europe. Some politicians have articulated alarming views, initiating mercantilist or "beggar-thy-neighbour" cost-competitiveness policies. Yet companies that concentrate research and design innovations at home but nolonger have any factories there may be the norm in the future. This volume proposes an economic analysis of this phenomenon and includes 11 contributions which complement each other and tackle the problem from different angles.The evidence in this book suggests that de-industrialization is a process that happens over time in all countries, even China. One implication is that criticism of China is not likely to provide a solution to these long term trends. Another implication is that the distinction between manufacturingand services is likely to become increasingly blurry. More manufacturing firms are engaging in services activities, and more wholesale firms are engaging in manufacturing. One optimistic perspective suggests that industrial country firms may be able to exploit the high-value added andskill-intensive activities associated with design and innovation, as well as distribution, which are all components of the global value chain for manufacturing.Although this ongoing transformation of the industrial economies may be consistent with evolving comparative advantage, it has significant short-run costs and requires far-sighted investments. These include the costs to workers who are caught in the shift from an industrial to a service economy, andthe need to invest in new infrastructure and education to prepare coming generations for their changing roles.
Lionel Fontagne is Professor of Economics at the Paris School of Economics, Universite Paris I Pantheon Sorbonne, and the Director of the Centre d'Economie de la Sorbonne (UMR 8174 CNRS, Paris). He has been the Director of the Centre d'Etudes Prospectives et d'Informations Internationales (CEPII, Paris) from 2000 to 2006. He is also a ...
Title:The Factory-Free Economy: Outsourcing, Servitization, and the Future of IndustryFormat:HardcoverDimensions:368 pages, 8.5 × 5.31 × 0 inPublished:April 15, 2017Publisher:Oxford University PressLanguage:English

The following ISBNs are associated with this title:

ISBN - 10:019877916X

ISBN - 13:9780198779162

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Table of Contents

Lionel Fontagne and Ann Harrison: Introduction1. Richard Baldwin: Factory-Free Europe? A Two Unbundlings Perspective on Europe's 20th Century Manufacturing Miracle and 21st Century Manufacturing Malaise2. Michael J. Ryan and Farid Toubal: Hollowing Out of the Japanese Economy: A Long-Term Perspective3. Jean Imbs: Structural Change in the OECD: Some Facts4. Matthieu Crozet and Emmanuel Milet: The Servitization of French Manufacturing Firms5. Andrew B. Bernard and Teresa C. Fort: Factoryless Goods Producers in the US6. Lionel Fontagne and Aurelien D'Isanto: Fragmentation: Survey-Based Evidence for France7. Rosario Crino and Paolo Epifani: The Skill Bias of the US Trade Deficit8. Avraham Ebenstein, Ann Harrison, and Margaret McMillan: Why Are American Workers Getting Poorer? China, Trade, and Offshoring9. Francis Kramarz: Offshoring, Wages, and Employment: Evidence from Data Matching Imports, Firms, and Workers10. Matteo Fiorini, Marion Jansen, and Weisi Xie: Globalization and Structural Change: Upheaval in the Nineties or in the Noughties?11. Philippe Martin, Thierry Mayer, and Florian Mayneris: Are Clusters More Resilient in Crises? Evidence from French Exporters in 2008-2009