Comments about ‘Outsourcing's short-term gains may be outweighed by long-term costs, U. study says’

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Published: Wednesday, Aug. 11 2010 8:38 p.m. MDT

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jane

NO kidding!

attentive

Outsourcing=more Americans out of work. Bottom line.

Baron Scarpia

One issue with outsourcing is shipping costs. The more a product is at a distance for delivery, the greater the cost and risk tradeoff. In the case of Boeing, at least a plane can be flown to its customer. Other imports, such as wind turbine towers and blades, are incredibly expensive and clumsy to ship even if they can be built "cheaply" in China or India.

This country needs to nurture industries that can't be outsourced or warrant local production for logistical and cost reasons. Colorado has a strong long-term policy push for renewable energy that has attracted European wind tower and blade manufacturers to its state to create local jobs and facilitate local delivery. Because the companies know they'll have a local market for wind energy development for the next 20 years, setting up shop locally reduces their risk.

California has a similar policy for renewable energy and electric cars, which is cultivating local industries for solar, batteries, and car manufacturing.

Imagine if we had a national renewable energy policy that put laid off car industry workers back to work making wind towers, blades, solar panels, etc.! Reduced dependence on foreign energy and domestic jobs!

My2Cents

This article is about 50 years too late to save Americas economy. Statisticians and economist have also over looked these pitfalls of outsourcing company products.

If you follow the example of major industrial giants of the early 20th century, they took over full control of manufacturing their products to save money and increase profits. They even paid their workers better. A common sense approach.

It has been a long time problem and all this is coming true of many business, that outsourcing also outsources control and manufacturing reliability and quality. And the only reason is labor, American labor. Not only have these companies outsourced labor they have outsourced the economy to the point that the very people working for them were also their customers. While getting rid of American labor they lost customers and have backed themselves into the corner and barely surviving.

And this is why the American economy is still flat and not growing, illegal labor working for less are not consumers. They are deadbeat scam workers that deny economic growth. And Obama is puzzled as to why the economy is not responding to stimulus spending and bailouts. He is feeding illegal labor.

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