Outsourcing and Its Effect on Term Paper

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This scenario is even being played out today in countries such as China where the cost of labor has increased to the extent that Chinese manufacturers are establishing lower-cost production facilities in Vietnam, for example. It is only a matter of time, then, that workers in Vietnam will likewise become more affluent and will be able to outsource their more distasteful jobs to other, less well situated developing nations. Over time, in this best-case scenario, the tide will in fact rise and everyone will benefit; increased international commerce will create an environment where free trade and democratic ideals will spread like wildfire.

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Critics of this view, though, emphasize that much of this global expansion of trade will be at the expense of the American consumer, and the long-term scenario will likely be less attractive as foreign interests continue to buy up American property and companies with the money they are making from Americans in the first place. Only time will tell which scenario emerges, but the handwriting is on the wall and outsourcing is clearly here to stay.

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