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Why is it OK to pay a cheap wage for work done by an outsourced employee not in the U.S. for the benefit of a U.S. customer; but suddenly not OK when that perso

by cmurf 10y ago

Why is it OK to pay a cheap wage for work done by an outsourced employee not in the U.S. for the benefit of a U.S. customer; but suddenly not OK when that person is in the U.S.? If the answer is merely, a critical plurality doesn't like that market outcome and has voted to legislate an alternative outcome, well OK. That's the system we have. But on principle, this must be admitted to be protectionism, it's the anti-thesis of a free market solution (which doesn't make it wrong, just call it for what is is). And protectionism is basically saying the local market is overpaid, that's why it needs to be protected.

JumpCrisscross 10y ago
That's there and this is here. For better or for worse, I and other American voters are more responsible for our country than for others. If you think this way, and I think a lot of voters do, then accepting someone into your society carries a higher bar than buying something from a society.
cmdrfred 10y ago
If you want to go down the route of protectionist laws you need look to further than the copyright and patent systems. Isn't that anti-free market in the same way accept more to the detriment of consumers as opposed to firms? It seems we live in a nation that has rules that govern our markets and everyone is fine with that, until you wish to use that very same system to protect workers in some way.
Retric 10y ago
Outsourcing results in rapid salary increases in foreign economies, but low wage workers depress US salaries. So they are not apples to apples comparisons. US workers be they foreign or domestic benefit from US infrastructure like relativly low corruption, clean water etc. Companies want to benefit from that without paying the associated costs.
ENGNR 10y ago
It's protectionism to be sure, the enemy of progress. Economic liberalism got too far ahead, and failed to distribute the wealth back to society as was promised. Finally stung, the people turned their back on economic liberalism (for now), and will continue to until they can say "Yay, we destroyed those jobs, now no one needs to do them!".
imtringued 10y ago
Because h1b visas are not immigration. The foreign workers have almost no leverage and have to leave the country if they were fired and unemployed for a few weeks. Even if they start with market rate salaries over time they will earn less on average than an american citizen because they can't just leave their current employer and switch to a better paying job.

by cmurf 10y ago

JumpCrisscross 10y ago

That's there and this is here. For better or for worse, I and other American voters are more responsible for our country than for others. If you think this way, and I think a lot of voters do, then accepting someone into your society carries a higher bar than buying something from a society.

cmdrfred 10y ago

If you want to go down the route of protectionist laws you need look to further than the copyright and patent systems. Isn't that anti-free market in the same way accept more to the detriment of consumers as opposed to firms? It seems we live in a nation that has rules that govern our markets and everyone is fine with that, until you wish to use that very same system to protect workers in some way.

Retric 10y ago

Outsourcing results in rapid salary increases in foreign economies, but low wage workers depress US salaries. So they are not apples to apples comparisons. US workers be they foreign or domestic benefit from US infrastructure like relativly low corruption, clean water etc. Companies want to benefit from that without paying the associated costs.

ENGNR 10y ago

It's protectionism to be sure, the enemy of progress. Economic liberalism got too far ahead, and failed to distribute the wealth back to society as was promised. Finally stung, the people turned their back on economic liberalism (for now), and will continue to until they can say "Yay, we destroyed those jobs, now no one needs to do them!".

imtringued 10y ago

Because h1b visas are not immigration. The foreign workers have almost no leverage and have to leave the country if they were fired and unemployed for a few weeks. Even if they start with market rate salaries over time they will earn less on average than an american citizen because they can't just leave their current employer and switch to a better paying job.