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RSS Hannahd

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While there are many positives and negatives that accompany outsourcing, this matter is mainly negative. Some people support outsourcing because global competition would drive down prices for consumers. In addition, if Americans are able to get goods from a variety of places they will be able to have a better array of choices. For example, some people like to get their coffee beans specifically from Brazil (developing country) because of its flavor and the way of cultivation. For this reason, the U.S. purchases the beans from Brazil because we do not have the resources to do as well here. There are also people who believe that outsourcing is bad because outsourcing contributes to an increase in unemployment in the United States. One example of the loss of jobs was when Whirlpool shutdown its factory in Indiana in 2010 and moved its refrigerator assembly operation to Mexico (developing country). This resulted in the loss of 1,200 local jobs. Chile (a developed country) is becoming an important outsourcing nation, with a sourcing workforce of more than 20,000. More than twenty percent of its exports go to the U.S. While the U.S. is receiving cheaper goods from Chile, this workforce should consist of Americans. The largest barriers in regards to outsourcing are the language and cultural disagreements. In all, outsourcing would hinder the U.S. economy because it would increase the unemployment in the United States.With more of the population unemployed, these individuals would be less likely to contribute in the marketplace.

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