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A. What events in the world or individual countries could cause a massive amount of inshoring into the US? B. The relative price of R&D
A. What events in the world or individual countries could cause a massive amount of inshoring into the US?
B. The relative price of R&D increases. Our offshoring model predicts that the US will have more R&D exported while increasing the number of components imported. When we look at the data, we find that the US is decreasing the number of components imported. What could explain this?
C. When the US puts a tariff on steel, the country generally loses less welfare than a small country putting a similar tariff on steel. Why is this the case?
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