Does globalization of industries hurt or hinder the local economy?Across the Sea
...ped abroad or “off-shored,” creating financial devastation for many. Offshore outsourcing has become a major problem in our current day society. Locally the affects will play a horrifying economic disaster. Outsourcing particularly affecting high technology and serves sectors, brings major concern locally especially to our near neighbors the Silicon Valley. The Silicon Valley for many years has been the hub and basis to the world of technology. Many of our basic building blocks to technology have been credited to the Silicon Valley. A valley once filled with highly qualified leaders in the tech world face the reality that their jobs of the future might just be the jobs of the past. Outsourcing hits were it hurts the most, our economy. As many large companies start doing business abroad their leaving behind many unemployed skilled professionals. These highly skilled professionals are left with families to feed, mortgage bills to pay and the stress of knowing that your profession is becoming obsolete here in the US. The consequences of outsourcing will trickle down like falling dominos; everyone will eventually pay for this new up coming trend. Lets say that a local high tech corporation decided to take its business overseas. The corporation will leave behind thousands of unemployed professionals. Theses unemployed professionals will no longer have the money for entertainment, or weekend spending, all which contribute to local economy. No longer will you have the spending cash to get a $100.00 hair cut or the extra funds for upscale dinning. Local businesses will be affected on the financial fall of those unemployed. Outsourcing one corporation means leaving behind devastating economic problems for an entire community. On the opposing side you have those that say outsourcing is a good thing. They argue as the U.S. economy evolves, innovation will create new high-paying jobs. Many will argue that outsourcing is just another form of free trade, which increases wealth in the economy. They say that employing workers at lower cost allows U.S. companies to be more efficient and productive, permitting them to create the same amount of goods with fewer resources. This is far from the truth to think that innovation will create new high-paying jobs is flat out ridicules. To assume that we are inherently more creative than our foreign competitors is both arrogant and naive. Plain and simply the loss of jobs reduces tax base, creates high unemployment benefit costs and raises the cost of government retraining programs. Offs...