Engineers wouldn't price themselves so high that they would be outsourced: that only happens to people who don't have any room left to let their wages fall, eit

Engineers wouldn't price themselves so high that they would be outsourced: that only happens to people who don't have any room left to let their wages fall, either because they already earn too little to sustain themselves or there is a legal price floor (e.g., minimum wage). An engineer making $200k isn't going to starve from taking a 50% pay cut, and they'd certainly rather take that than no job at all.