Asian Dynamics Initiative

I am Asian Dynamics Initiative Professor in International Economics at Department of Economics, University of Copenhagen.

Asian Dynamics Initiative is a cross-faculty Asia focus at the University of Copenhagen. ADI aims at coordinating existing research and teaching on Asia as well as creating a common platform for new, interdisciplinary Asian studies and research. For Denmark and the Western World, Asia has become increasingly important as a powerful player on the global scene. Today, it is of strategic importance to tackle what is often called the challenge of the "Asian Century", and one of the strategic research themes within ADI is The economics of the Asian challenge.

Several of my colleagues at Department of Economics are working with Asia-related topics - click here for a list of these researchers.


My research is centered around two topics under 'The economics of the Asian challenge' headline. First, the increasing role of countries such as China and India in world trade means that firms in developed countries may better exploit comparative advantages and become more productive by offshoring parts of the production process to the emerging economies. On the other hand, this may lead to adjustment costs as domestic workers become unemployed and experience earnings losses in the short run. Second, import competition from emerging Asian countries in final goods markets may affect firms through declining goods prices. This, in turn, may lead to lower wages of employed workers. If emerging economies specialize in producing low priced and low-quality goods, strategies for domestic firms may be to adjust their product mix or differentiate their products in the quality dimension by employing higher skilled workers.

Some of my recent papers and ongoing research related to these two themes are listed below:

1. Offshoring:

Whose Job Goes Abroad? International Outsourcing and Individual Job Separations, Scandinavian Journal of Economics 112, pp. 339-360, 2010.

Do Labour Market Institutions Matter? Micro-level Wage Effects of International Outsourcing in Three European Countries (with I. Geishecker and H. Görg), Review of World Economics 146, pp. 179-198, 2010.

Specialization, Outsourcing and Wages (with J. R. Skaksen), Review of World Economics 145, pp. 57-73, 2009.

The Wage Effects of International Offshoring: Evidence from Danish Matched Worker-Firm Data (with D. Hummels, R. Jørgensen and C. Xiang), NBER Working Paper No. 17496.

2. Import competition, quality differentiation and human capital:

Human Capital and Wages in Exporting Firms (with J. R. Skaksen), Journal of International Economics 75, pp. 363-372, 2008.

Quality differentiation among Danish exporters (with David Hummels and Chong Xiang). Project supported by The Danish Council for Independent Research | Social Sciences (FSE).

The impact of Chinese import penetration on Danish firms and workers (with Damoun Ashournia and Daniel Nguyen).

Dissemination activities

1. Conference organization

ADI hosts a conference on Rising Asia, Anxious Europe at University of Copenhagen 2-3 May 2012. Call for papers here.

ADI hosted a conference on Asian Diversity in a Global Context at University of Copenhagen 11-13 November 2010.

2. Profile magazine for the Asian Dynamics Initiative

Some of my research has been described in a recent profile magazine, which is available for download at the ADI homepage.

3. In the media

Press coverage of inaugural lecture, Berlingske Tidende November 2010: Virksomheder spinder guld på udflytning

Short popular version of NBER wp 17496 in VoxEU: Offshoring, inequality, and the value of college degrees

Politiken Analyse: Humant: Outsourcing gør ikke alle til tabere

Magisterbladet: Outsourcing giver højere løn