WORKING PAPER 05-1

Outsourcing and Offshoring: Pushing the European Model Over the Hill, Rather Than Off the Cliff!

by Jacob Funk Kirkegaard, Peterson Institute for International Economics

March 2005

Outsourcing and offshoring, far from being a blight, can help solve Europe's most pressing problems: low productivity growth and low employment. These forces can also help Europe raise its game, as it feels competitive pressure from a talented labor pool outside its borders, and can encourage Europe to actually implement the Lisbon Agenda of reforms that its leaders have endorsed.

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