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Old 12-25-2009, 02:45 PM
 
9,881 posts, read 9,050,324 times
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Quote:
Originally Posted by CAVA1990 View Post
I think it's good that American companies are helping raise the standard of living throughout the world. Better they work with us than fight us.
I think it is wrong for American companies to outsource but I understand how certain circumstances could force them to do so. American companies should employ Amercans or those eligible to work in the United States whenever possible.

Last edited by pommysmommy; 12-25-2009 at 02:55 PM.. Reason: typo
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Old 12-25-2009, 02:52 PM
 
Location: Lafayette, IN
838 posts, read 870,668 times
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Quote:
Originally Posted by rd2007 View Post
somebody has had a business class or two

comparative advantage keeps the quality up and prices down.
I'm PhD student in political science; Agricultural Economics is my minor. Also have an MA in International Development so I'm pretty well versed in these issues. It always amuses me to see people who would call themselves 'free market capitalists' decrying things like outsourcing; don't they see the hypocrisy? The irony?
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Old 12-25-2009, 03:07 PM
 
Location: Everywhere and Nowhere
14,131 posts, read 27,116,671 times
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Quote:
Originally Posted by Ever Adrift View Post
I'm PhD student in political science; Agricultural Economics is my minor. Also have an MA in International Development so I'm pretty well versed in these issues. It always amuses me to see people who would call themselves 'free market capitalists' decrying things like outsourcing; don't they see the hypocrisy? The irony?
I'll coin a term for them - "free market isolationists".
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Old 12-25-2009, 03:12 PM
 
Location: Wiesbaden, Germany
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I start my MBA next month and had my eyes opened to the "evils of outsourcing" a while ago. Imagine how screwed we'd be if everything in this country was made by a union shop. It would pretty much be like the domestic auto industry x 1,000,000... I'm still trying to figure out how Ford is doing it. Maybe they're somehow cooking the books or something.
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Old 12-25-2009, 03:17 PM
 
Location: Lafayette, IN
838 posts, read 870,668 times
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Quote:
Originally Posted by CAVA1990 View Post
I'll coin a term for them - "free market isolationists".
It's such a ridiculous ideological position; the very logic that supports a free market domestically works at the international level just as well. If you want to maximize economic welfare, then free trade is the way to go. Now, that's not to say we should never implement trade policies/restrict the market. Rather, it means that in most cases you need to appeal to non-economic goals rather than economic ones to justify such policies. There may be perfectly good moral, national security, political, etc. reasons for restricting trade and the market, but in most cases the argument (that I believe the OP was implying) that things like outsourcing are bad for our economic welfare overall is simply wrong.

Now, of course there are some instances where such policies can improve economic welfare by fixing market distortions/failures or correcting for externalities, but that is usually an exception to the rule and is not what these 'free market isolationists' as you call them are thinking of!
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Old 12-25-2009, 03:21 PM
 
Location: Lafayette, IN
838 posts, read 870,668 times
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Quote:
Originally Posted by pommysmommy View Post
I think it is wrong for American companies to outsource but I understand how certain circumstances could force them to do so. American companies should employ Amercans or those eligible to work in the United States whenever possible.
Why? This is often bad for American consumers (meaning you and me!). Our economy is inextricably entwined with the global economy and people have to come to accept that. Companies, American or otherwise, have one goal: profit. By the logic of capitalism they should do one thing and one thing only; do what it takes to maximize their profit. Often times that means outsourcing so that's what they do.

Again, rather than trying to stop this (and hurting consumers and our economy in the process) we need to implement policies to help workers who've lost their jobs as a result of outsourcing to move to new industries. We also need to implement policies facilitating the growth of industries that we can maintain a comparative advantage in rather than clinging on to dying industries. Such an approach will be far better for our economy in the long run than will policies that seek to stop outsourcing.
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Old 12-25-2009, 03:22 PM
 
Location: Everywhere and Nowhere
14,131 posts, read 27,116,671 times
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Most of the jobs being outsourced are low knowledge/repetitive motion type functions. Companies are still paying good money here for people who think. The unemployment rate is still pretty low for those with college degrees. Around where I live it's probably less than 2%. At some point soon, we're going to have to consider paying welfare benefits for anyone without one.
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Old 12-25-2009, 03:28 PM
 
9,881 posts, read 9,050,324 times
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Quote:
Originally Posted by Ever Adrift View Post
Why? This is often bad for American consumers (meaning you and me!). Our economy is inextricably entwined with the global economy and people have to come to accept that. Companies, American or otherwise, have one goal: profit. By the logic of capitalism they should do one thing and one thing only; do what it takes to maximize their profit. Often times that means outsourcing so that's what they do.

Again, rather than trying to stop this (and hurting consumers and our economy in the process) we need to implement policies to help workers who've lost their jobs as a result of outsourcing to move to new industries. We also need to implement policies facilitating the growth of industries that we can maintain a comparative advantage in rather than clinging on to dying industries. Such an approach will be far better for our economy in the long run than will policies that seek to stop outsourcing.
That would be nice if there were jobs. We have programs in El Paso to help workers whose companies have outsourced. Money is spent to send them for training in different fields. Guess what? Companies are not willing to hire people with no experience here in El Paso. I hired a newly trained employee four years ago and found a very good employee. I have hired newly trained employees the last three years and have had to fire them mostly for lack of work ethic. We no longer interview employees without experience in our field.
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Old 12-25-2009, 03:34 PM
 
Location: Everywhere and Nowhere
14,131 posts, read 27,116,671 times
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Well, even in good times you have to fire people with a bad worth ethic.
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Old 12-25-2009, 03:37 PM
 
Location: Wiesbaden, Germany
13,807 posts, read 26,366,466 times
Reputation: 3989
we have that same lack of a work ethic in San Antonio (what were the odds?) and my wife constantly has to fire people. Lazy thieves make up at least 50% of the workforce here.
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