In the related context of offshoring, Gorg et al. (2008) study the impact of services (including consultancy, maintenance, security, cleaning, and catering) and materials offshoring on manufacturing establishments in Ireland and find that services (but not materials) offshoring contributes to establishmentlevel productivity in the aggregate, but only for those establishments operating in the export market. At the industry level, Amiti and Wei (2006) similarly use a production function framework to examine the impact of services (including communication, computer, financial, insurance, and other business services) offshoring on labor productivity in the manufacturing sector. They compute purchased service inputs employing the input–output tables constructed by the U.S. Bureau of Labor Statistics. They estimate a production function that includes services offshoring as an input using instrument variables estimation to account for potential endogeneity. Their results show that purchased IT and business services are positively associated with higher labor productivity in the U.S. manufacturing sector between 1992 and 2000. Specifically, their findings suggest that business services outsourcing accounts for up to 13 percent of the growth in labor productivity.