<p>Nah, aibarr, nobody is entitled to know anything about anybody here. That’s what an anonymous discussion board is all about. If that impacts how much you trust a particular poster, then so be it. For example, Ariesathena has consistently refused to divulge much of any information about herself, and I think we should respect her wishes. </p>
<p>However, the general point is simple. Economics is NOT a zero-sum game, and this is something that has been proven by basic economics, but continues to be highly misunderstood even to this day. Just because somebody gets a job does not mean that somebody else has to lose a job. You can both gain, and you often do in a free market.</p>
<p>Consider the initial claim by the OP that because Delphi has hired 360 Indian engineers, that means that 360 US engineers have lost jobs. Just simple common sense would tell you that that is not true. After all, the whole point of hiring Indian engineers is because they are cheaper than American engineers - meaning that you can hire several Indian engineers instead of one American engineer. Basic economics dictates that when something is cheap, you buy more of it. I think that each Indian engineer costs about 1/5 of an American engineer. So at worst, the hiring of 360 Indian engineers translates into the loss of 72 American engineering jobs. </p>
<p>But it is highly disputed as to whether any jobs are lost at all. Like I said above with my Ipod example, the outsourcing of jobs can actually CREATE a net number of jobs in the US. That’s because cheap foreign engineers allows companies to create new business models and new business initiatives. Without Asian manufacturing outsourcing, the Ipod would cost at least a $1000 each, and nobody would buy it and hence all of Apple’s American design engineers in Cupertino would not have jobs. But it goes further than that. A lot of companies were founded to make add-on products for the Ipod - i.e. carrying cases, chargers, adapters, etc. These companies have created plenty of jobs for American engineers; these jobs would never have been created if the Ipod had never become popular. . A lot of startup tech companies today have outsourced much of their engineering to India. Their founding was predicated on cheap engineering. If they were forced to employ American engineers from day 1, many of these companies may not have ever been started at all because it would be too expensive to start them. For many of them, the business model is to have lots of cheap foreign engineers, all tied together by some expensive American engineers who work as project managers and liaisons. Without outsourcing, these Americans would not have their jobs. </p>
<p>In fact, let me talk about this at a more macro level. I think everybody who has examined the computer industry has noticed the tremendous drops in prices of computer hardware accompanied by tremendous advances in computing power. The computer that I am using now is more powerful than the supercomputer of a few decades ago. Most computing equipment is manufactured in Asia. That’s a huge reason why it is so cheap and so powerful. If PC’s were all manufactured in the US, PC’s would be far more expensive than they are now. Just take apart any PC and you will notice that practically every component you see was manufactured outside of the US. The computer itself may have an American brand-name (i.e. HP, Dell, IBM), but almost all of the internal components will have been made in Asia. </p>
<p>Much of the Internet boom is predicated on the fact that PC’s are cheap and readily available to most consumers. Much of the software boom is predicated on the same thing. If PC’s cost $10,000 each, then the Internet would be far less popular. Most Internet companies would not exist today, or would be a lot smaller than they are now if PC’s were expensive, because fewer people would be able to afford computers to get on the Internet. Hence, Google, Yahoo, Amazon, and eBay would not have created anywhere near the number of US Internet jobs that they did. Microsoft and Intel would be far smaller companies, and hence would be hiring far fewer people. Cisco and the other network vendors would be smaller because there would be fewer PC’s to hook up to the Internet. In fact, the entire computer and information technology industry as we know it would be far smaller than it is today, hiring far fewer people. Outsourcing allowed the pie to grow large by cutting prices, therefore allowing more customers to buy computers, which increases the demand for all sorts of other industries and jobs. </p>
<p>That’s the dynamism of a functioning economy. While some jobs get destroyed, others are created. Labor is constantly being repurposed. Old jobs and old industries must die in order for new ones to be created.</p>