Scarcity (and resulting wages increase) wouldn't be as big if there were no foreign companies coming in. Either hiring fully remotely or opening up dev offices.

Scarcity (and resulting wages increase) wouldn't be as big if there were no foreign companies coming in. Either hiring fully remotely or opening up dev offices. Purely local scarcity would have had similar effect but I believe it'd be much much much slower and with lower ceiling. Local companies paying 2x average wage seemed fine. You're making good money compared to your neighbours and feels sort of wrong to ask for more than your boss makes. Then foreign money come in and pay 4x average wage light it was nothing. Suddenly all the social stigma is removed. That's literally what happened when a major bank's back-office was opened. They were willing to pay 1.5x-2x local market salaries and hire lots of people (compared to market size). Pretty much everybody in the industry had to follow, raising salaries effectively overnight.