Recently, a large number of American companies have been hiring companies or workers from other countries to do work that was once done within the U.S. border. This outsourcing is greatly increasing the rate of unemployment for Americans. Many highly skilled U.S. workers have lost jobs because of this and are trying to make the Federal Government place trade barriers to limit outsourcing. Some think that the government should provide incentives for companies that keep their jobs in the U.S. Many people believe that the liberalized trade policies are what is encouraging this recent rise in outsourcing. Outsourcing allows companies to get the same amount of work done, but at less cost for the company because they can pay the foreigners less. When jobs are sent offshore, many Americans are left with far fewer employment options. Outsourcing is continuing to go on because it can save consumers money and increase a companies profit with the low wages they are able to pay their workers outside the U.S. Outsourcing was started to try and tackle the issue of inflation.
Outsourcing is becoming a real problem for the U.S. With unemployment rates at an all time high, outsourcing seems like the most illogical solution to help in these rough fiscal times. Outsourcing will keep unemployment high and wages low for the American worker. Of course a company is looking to find a way for them to make the highest profit possible, which outsourcing may allow them to do. However, it is ultimately a viscious cylce hurting the American economy. It may be helping a few big businesses but it is hurting small business and the average american immensely. Companies that previously provided a large number of Americans with jobs have now turned to outsourcing, eliminating many job opportunities which is not what will help the high unemployment rate whatsoever. Yes it is nice to provide a more cost friendly product for consumers but at what cost will that come to our economy? The jobs that outsourcing has taken away from U.S. workers is not worth the slightly lower prices. Without jobs, americans can't pay for all of these extra products anyway. Outsourcing does more harm than good for our economy and our citizens. Ultimately, it is helping everyone BUT the U.S. Since 1986, 15 million high-paying manufacturing jobs have left the US and American workers. Pretty soon it will be hard to find any product that can be labeled "made in the U.S." if this trend continues. Basically, that means relying on other countries almost completely for our economic success. That is not what the U.S. needs, especially when other countries own huge parts of us due to our huge national debt. Outsourcing is basically thee only issue that I can unfortunately admit to agreeing with Obama on. He agrees that there needs to be more government restrictions on outsourcing. He states being opposed to shipping jobs overseas. He agrees that globalization is a good thing and we cannot shy away from it and completely stopping outsourcing would be bad. But we can't keep providing tax breaks for companies who ship most all of their jobs overseas. The tax breaks should be going to those American companies who employ americans, so they can have more money to pay the American workers higher wages than the outsourced workers. This way they can still,without outsourcing continue to produce products at a lower cost while now being able to help with the issue of american unemployment.
To learn about Tax Reduction, view my classmates blog: http://the-brack-blog.blogspot.com/2011/02/reducing-taxes-issue-1.html
To lear about The Budget Deficit and Social Security, view my classmates blog: http://ksteffss1.blogspot.com/2011/02/budget-deficit-and-social-security.html
http://www.the7thfire.com/Politics%20and%20History/Norma_Sherry/out_sourcing_america-job%20loss%20and%20unemployment.htm
