In Defense of Offshoring


Declan McCullagh writes cogently in defense of "offshoring," the topic that got Council of Economic Advisers head N. Gregory Mankiw in such trouble. In addition to the gains to developing countries, McCullagh notes:

Let's not forget that U.S. workers in the information technology industry often benefit from outsourcing. The German company Siemens, which makes electronic and electrical products, employs 65,000 people in this country. Sony Electronics employs 2,000 people in just New Jersey, while Belgium's Agfa-Gevaert Group, one of the world's leading imaging companies, writes paychecks to over 5,000 people in the United States. Spain's Terra Lycos employs 418 people in the United States to run Web sites such as,,,, and And those are only a few examples.

Whole thing here.