Re: Shrinking Returns [NDC]


"Everybody's Gonna Be Happy" <Davko58@xxxxxxxxxxxxxxxxxx> wrote in message
news:ydOzf.457$h8.9190@xxxxxxxxxxxxxxxxxxxx
>
> "Neil X." <neilxk@xxxxxxxxx> wrote in message
> news:1137644158.497697.144520@xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
>>
>>> Steve Terry wrote:
>>>
>>> It seems to me that the globalization of the labor market certainly
>>> contributes to stagnating wages here in the US insomuch as the cost of
>>> labor
>>> is cheaper abroad.
>>
>>
>> Exporting of jobs to places like India does have an effect on certain
>> industries. But the opening of vast new markets has a large effect on
>> industry, too. I can't prove it, but globalization appears to me to be
>> a large net benefit to Americans. Specific classes of workers (say,
>> entry-level software designers) are really suffering. Other classes of
>> workers benefit greatly (for example, pharmaceutical factory workers)
>> by having vast new markets available to the companies they work for.
>>
>> Just because a position can be shipped to India doesn't mean it has to
>> be. There are downsides and upsides for the companies that make this
>> decision. Managers are overplaying this hand now, and companies are
>> going to be hurt. Talk to anyone who tried to get an answer from Dell
>> customer support over the past 2 years, for example. Dell's sales will
>> eventually suffer because of the widespread dissatisfaction with
>> customer "service" originating from Bangalore. Their reputation has
>> really taken a beating, and all for incremental savings. Terribly
>> short sighted.
>>
>> Peace,
>> Neil X.
>
>
> Insourcing, the importation of illegal exploitable labor from Mexico and
> elsewhere, is even worse as that directly impacts young first job seekers
> and the laborer class.
>
> Why pay an American a dollar over minimum wage to pick fruit or dig
> ditches when you can pay some illegal below minimum wage and get away with
> not contributing to their social security?

Good point, but I think using the words "their social security" is a bit
misleading.

Its contributing to the social security of those about to retire. By the
time current workers retire, there will be very little left for social
security.

So, its more like " and get away with not contributing to the vast black
hole of social security"


.

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