Although Iâm still fairly new to the forums I have read allot of good information and realized that there is a good amount of people that like to think outside of the box as well as give solid educated responses. I am writing a 15 page paper for my economic class, my topic of choice is "outsourcing creates Economic growth"(in the long run) it's a little vague at the moment but I believe I can make a solid paper from this thesis. I was hoping that all of you may be willing to give me some topics to look more into and maybe some good information to build off from, any comments would be greatly appreciated. Thank you for your time and efforts in helping me with this task. I look forward to reading your responses as well as debating more economic topics in the future. Thank you all, Bradley
You're better off searching for a forum that deals specifically with economics. Although I don't agree with your thesis, I'm sure your econ professor will eat it up.
Outsourcing creates jobs, study says Industry report says offshore outsourcing will boost economic growth, lower inflation, create jobs. March 30, 2004: 3:53 PM EST NEW YORK (CNN/Money) - The outsourcing of prized information technology jobs overseas has created tens of thousands of new jobs in the United States, according to a recent study commissioned by the information technology industry. Global Insight, a private consulting firm hired by the Information Technology Association of America, an industry lobbying firm, said that, while outsourcing does result in some short-term U.S. unemployment, its long-term benefits outweigh its costs. "The cost savings and use of offshore resources lower inflation, increase productivity and lower interest rates," Global Insight said in a statement. "This boosts business and consumer spending and increases economic activity." According to this study, these benefits "ripple" through the economy, leading to about 90,000 net new jobs through the end of 2003. This effect, the study said, should produce a total of 317,000 net new jobs through 2008. The study also said outsourcing added some $33.6 billion to U.S. gross domestic product (GDP) in 2003 and could add a total of $124.2 billion through 2008. And outsourcing lifts the wages of U.S. workers, according to the study, though minimally -- real wages were 0.13 percent higher in 2003 because of outsourcing and could be 0.44 percent higher by 2008. Global Insight estimated that U.S. firms will spend about $31 billion in offshore IT services in 2008, compared with about $10 billion in 2003, mainly due to expected cost savings, which could reach $21 billion in 2008. The study acknowledged the impact of outsourcing on U.S. IT workers, but warned against what it called protectionist measures that would restrict the flow of jobs overseas. Instead, it recommended offering displaced workers government assistance and new training. It did not address the potential costs to businesses of offshore outsourcing, highlighted by a recent study by a human resources consulting firm, Hewitt Associates (HEW: Research, Estimates), including the costs of shutting down U.S. operations, communicating with overseas workers and managing supply chains. The Global Insight report comes amid much controversy about the practice of "offshoring," which has helped at least a little to keep the U.S. job market anemic in recent months. Democratic presidential candidates, including likely nominee Sen. John Kerry of Massachusetts, have accused the Bush administration of doing too little to stop jobs from moving overseas. Critics of outsourcing dismissed the report. "I'm dubious that the boost in corporate profitability from outsourcing has contributed much to creating new jobs," Lee Price, research director at the Economic Policy Institute, a liberal think tank in Washington, told the Wall Street Journal on Tuesday. Treasury Secretary John Snow, on the other hand, echoed the report's findings late Monday, according to an Associated Press report. "It's one aspect of trade," Snow reportedly told reporters in Cincinnati, "and there can't be any doubt about the fact that trade makes the economy stronger." While there have been relatively few studies putting hard numbers on the impact, either positive or negative, of outsourcing, many economists agree that free trade, including the trade of IT and other services, benefits the economy generally, and they doubt it's had a major impact on the labor market. "Quantitatively, outsourcing abroad simply cannot account for much of the recent weakness in the U.S. labor market and does not appear likely to be an important restraint to further recovery in employment," Fed Governor Ben Bernanke said in a speech Tuesday at Duke University's Fuqua School of Business. But Bernanke added that the effects of outsourcing should not be ignored, saying job losses cause "significant hardships for affected workers." He agreed that jobless benefits and worker training were helpful, adding that policy makers should also try to get the economy growing faster and find ways to ease the sting of health-care costs. "To say that the U.S. economy benefits from trade is not to say that every individual American worker or family benefits, or that the structural changes induced by trade are not disruptive," Bernanke said.
You'll have to do more than just copy paste other people's opinions on such an important issue Bauclair. These papers are designed to make you think for yourself instead of just regurgitating information/propaganda, which from your previous post seems to be most of what you can do..
outsourcing is a way to circumvent regulations and taxes in the own country, like USA. It is definately bad for the workers whose jobs are being outsourced, unless theres an equal flow of outsourcing returning to the same country. As that's never the case, outsourcing is generally a negative for a big portion of the population. However outsourcing can lead to huge profits for certain people
I would never simple copy and paste peopleâs information into my paper and call it my own. I like to read peopleâs views and information to wrap my head around this very intense gigantic topic. I wrote this thread to allow people that voice their opinions and for me to try to understand all prospective so I can intellectually grow about this topic. I'm sorry if you feel like my posts are simply regurgitated. This was not my intensions, although wouldnât it be fair to say that most of Economics is history and it's about leaning history in order to understand and predict the future.
You should copy others' work and paste it as your own, and cite that since outsourcing has freed up your time, ... you can now go out and create jobs. Kind of obvious?
If you are in college, you really need to learn to use Google. http://www.aei.org/docLib/20051208_WP122.pdf or youtube <object width="480" height="385"><param name="movie" value="http://www.youtube.com/v/rYaZ57Bn4pQ&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/rYaZ57Bn4pQ&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="480" height="385"></embed></object>
Sure, it's good to hear that you will want to build of other's ideas and make your own. May I suggest you read this unknown history of America's economy : http://en.wikipedia.org/wiki/American_School_(economics) The American school of economics, first suggested by Alexander Hamilton. It relied on exterior tariffs during the latter half of the 19th century and in fact it worked great to build the manufacturing to the level of the (then) British leaders. Competition is no doubt great and does lead to economic growth. The US is actually the single biggest area of free trade between the 50 states. But free trade and competition against an unequal competitor like China(different labour costs, regulations, institutions) and one that few prepared for, that's suicide. My opinion is also very much that embrace of outsourcing wasn't so much motivated by any thoughts of economic growth but purely for corporate profits and to allow the richest people in the US to take their money out and run.