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ANALYSIS
The issues with offshoring are that there is not enough information as well as vagueness of the information presented. It is important to address both sides of the issue in order to get a better understanding of whether or not offshoring is a good business decision. There are four areas which are taken into consideration when looking at the effects of offshoring on the U.S. economy that have two opposing sides. One issue is the average U.S. standard of living which is predicted to be beneficial in the long run with the use of offshoring, however some argue that offshoring could harm the standard of living by undermining U.S. technological leadership. Another issue is employment and job loss, some predict that offshoring will have little effect on overall employment levels, however there are still arguments that it may be a much larger impact on the white collar jobs that the U.S. offers. A third issue is the distribution of income, "some economists maintain that offshoring could increase income inequality in the U.S., while others argue that changes in the income distribution are driven primarily by factors other than offshoring." (GAO, Overview of the Issues) A final issue is security and consumer privacy. Offshoring may actually be making our national defense system vulnerable as well as consumer's financial and medical information. There are many resources for and against the use of offshoring, although there are negative effects of offshoring, the positive effects seem to outweigh them.
Globalization "has left many Americans disgruntled, jobless, and distrustful of corporations that practice it" (ezine ...