Diasporas and Outsourcing : Evidence from oDesk and India
This paper examines the role of the Indian diaspora in the outsourcing of work to India. The data are taken from oDesk, the world's largest online platform for outsourced contracts. Despite oDesk minimizing many of the frictions that diaspora...
Main Authors: | , , |
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Format: | Policy Research Working Paper |
Language: | English en_US |
Published: |
World Bank, Washington, DC
2013
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2013/04/17550067/diasporas-outsourcing-evidence-odesk-india http://hdl.handle.net/10986/13200 |
Summary: | This paper examines the role of the
Indian diaspora in the outsourcing of work to India. The
data are taken from oDesk, the world's largest online
platform for outsourced contracts. Despite oDesk minimizing
many of the frictions that diaspora connections have
traditionally overcome, diaspora connections still matter on
oDesk, with ethnic Indians substantially more likely to
choose a worker in India. This higher placement is the
result of a greater likelihood of choosing India for the
initial contract, due in large part to taste-based
preferences, and substantial path dependence in location
choices. The paper further examines wage and performance
outcomes of outsourcing as a function of ethnic connections. |
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