A Thorough Look At The Real Issues Around Offshoring

from the worth-reading dept

There has been a pretty constant flow of stories about offshoring over the last few months - and while I've posted some here, I've been avoiding the stories over the last few weeks that haven't said much new. However, mhh has submitted this long, but absolutely worth reading article written by Daniel Drezner taking a very thorough look at all the issues associated with offshoring. He basically makes all the points I've been trying to make here, but does it much better, and backs it up with plenty of research. The kneejerk response is going to be for people to post anti-offshoring comments beneath this post, but I'd ask you to actually read the article first and think about what it's saying. The quick summary is that the direct impact of offshoring is much less than people make it out to be. The upsides of offshoring greatly outweigh the downsides. Protectionists policies make things much worse, and actually accelerate the problems people think are caused by offshoring. As for what we should do - there are three areas to focus on: (1) making sure companies understand the true costs of offshoring (and that they're higher than they seem at first) (2) making sure we have programs in place to help those directly impacted by offshoring and (3) making sure politicians don't take the "easy" political response, which will cause a lot more harm to the people they're trying to help. Read the full article, though, no matter how you feel about the issue.
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  1. identicon
    Bastard Sammy, 26 Mar 2004 @ 12:37pm

    Re: No Subject Given

    Mike,
    If this kind of outsourcing continues, it's likely that the middle and lower classes in this country could concievably cease to exist. Then what do you do? Sure, you can go into business for yourself, but that depends on people buying your product or service. If no one is employed, then there is no one to buy anything. Except for the elite 00.1% of the population that doesn't need to worry about work. Under the current economic setup we have in this country and others, there's no way this can be sustained. I suppose, if you think about it, you should be asking, who really benefits from a trully global economy? There's only one answer. The rich.

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