Globalization of Culture: Outsourcing

Istvan Simon, who teaches computer science, writes: I must disagree with most of what Christopher Jones writes on globalization. The outsourcing of jobs can indeed be very painful. I am affected by this, as currently Computer Science jobs are being outsourced to India. Computer Science departments, have as a result, suffered a loss of demand in the United States.

Nonetheless,  the effects of outsourcing are not all bad. First,  the outsourcing of high-tech jobs to India is self-limiting. Many high-tech jobs will not be outsourced because it is impractical or too expensive to do so, and important losses also occur when jobs are outsourced, such as slower times to market, harder coordination between various departments involved in a project, and so on. On the one hand, outsourcing will soon bring economic benefits to the United States. Initially, the Indian economy benefits, but U.S. producers also benefit because their products
will be cheaper, and more competitive. As a result of this India will buy more U.S. high-tech products. That will produce American jobs that will in part offset the jobs lost to India.  India is in fact also outsoursing jobs to the United States. Japan has been outsourcing jobs to the U.S. for years. My Toyota Camry was assembled in the
United States.

Those that want to "preserve their way of life" by fighting Globalization will  fail.  Their efforts will neither preserve their way of life nor bring them prosperity. Let us suppose that the Basques achieve independence to "preserve their way of life". Since presumably they will then be just as dependent on the rest of the world as anybody else, independence will not preserve their way of life and most certainly will not bring them prosperity.

RH: Toyota's assembling cars in  the US is not outsourcing, which would require that they be sent to Japan for sale. The computer departments of US universities have been hit by a quadruple whammy. When they had almost a monopoly in the field, foreign students flocked to them- Now computer science courses are available everywhere.  Then came the outsourcing of jobs to places like India. The visa problem has made it more difficult to come to the US. Finally, students have lost their belief that a degree in computer science would guarantee them a good job.

Your comments are invited. Read te home page of the World Association of International Studies (WAIS) by simply double-clicking on: E-mail to Mail to Ronald Hilton, Hoover Institution, Stanford, CA 94305-6010. Please inform us of any change of e-mail address.

Ronald Hilton 2004


last updated: October 23, 2004