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This opinion piece is attempting to point relationship between global trade, offshoring and rising productivity. But even the autor doesn't sound convinced. I
by chewz 7y ago
This opinion piece is attempting to point relationship between global trade, offshoring and rising productivity. But even the autor doesn't sound convinced.
I do not deny, it might be true, we will probaly never know for sure as is always the case with laws of economy. But on the other hand offshoring might be seen as some sort of Dutch disease. [1]
Instead of improving productivity the hard way (through R&D, automation, logistics, ..) it allowed business to take the shortcut to greater profits - through moving where production is cheaper.
[1] https://en.wikipedia.org/wiki/Dutch_disease https://en.wikipedia.org/wiki/Dutch_disease