Exploding the Myths of Offshoring
 McKinsey & Co.
Far from damaging the economy of the United States, offshoring should enable its companies to direct resources to next-generation technologies and ideas -- if public policy doesn't get in the way. The McKinsey Quarterly
CFO.com
With the digital revolution and the dramatic fall in international telecommunications costs comes the prospect that white-collar jobs — once insulated from global competition — can be performed offshore, in low-wage nations such as India, where labor can be hired for as little as one-tenth its cost in the United States. Call-center agents, data processors, medical technicians, and software programmers could all find their jobs at risk from the nation's growing trade in services with emerging markets. In fact, offshoring is frequently blamed for the agonizingly slow pace of job growth in the United States, despite a recovering economy. more >>
CFO.com (continued)
A number of myths and half-truths are muddling the public debate over white-collar offshoring. Most troubling is the argument that trade in services is somehow different from trade in goods — less beneficial to the US economy. Given the strength of US services, however, increased trade in them is actually more likely to be a substantial plus for the country. more >>
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