Education May Not Be Answer to Outsourcing -- LA Times

[Stunt]

Originally posted by: Engineer
Income gaps between college grads/skilled workers shrinking compared to those that are not.

But remember, we moved from farms to the industries and all was good so we'll move to technology as we "offshore" manufacturing and other high skilled jobs. We'll be just fine...a service job away from a great future.

I was thinking about your link...and I think it tells more good than bad.

80% higher wages for college grads.
2% increase in "real wages" for those without education.
This is one of those ratios you don't really want too high. All that would say is the high schoolers are getting paid far worse than college grads. I'd like to see wages increase for all people, not just college grads.

Also, I find it odd they blame ousourcing for this. Outsourcing occured in the late 90's as well, and the wages of college students went up. Everyone on P&N believes it is not college students who are taking the hit on outsourcing but people who work in autotive and other factory jobs. This seems to indicate the exact opposite. I think 2000 was a freak year as software/internet was booming, the few who had these degrees were paid massive amounts of money. The market was highly inflated and wages were out of control. After more grads came out and after the bubble burst, wages are going to go down...

Maybe "Economic Policy for Working People" have an agenda...

 

[Engineer]

With real wages down 8% in the last 5 years for those ages 18-35 and down 9% over that same time for those ages 36 to 45, outsourcing/offshoring is indeed doing exactly what it was intended....drive up profits for the "investor/CEO class"...which, over that same period had REAL wage increases of 23% (ages 46 to 65).

Shipping? Warehousing? With the wages paid (in US dollars) to those foreign workers in the places like China and India, shipping and warehousing don't matter as it's still cheaper. When you can have machined parts made in China and shipped to the US CHEAPER than you can make them with a CNC machining center, you're in deep doo-doo (and that's exactly what my company is now doing with our tooling plant).