Merriam-Webster defines outsourcing as “to procure (as some goods or services needed by a business or organization) under contract with an outside supplier” (www.Merriam-Webster.com). Despite abundant criticism, there are positive as well as negative aspects of America outsourcing its jobs to foreign countries. According to some, outsourcing has a negative effect on the American job market (Gomberg 1) which, in turn, can effect the American worker and the fate of his or her job (Piatak 2). Outsourcing can also lead to the deterioration of our country as a physical and a moral whole (Dorgan 2-3).
On the other hand, outsourcing may have a positive impact on America and the global economy as a whole (Kane, Shaefer, Fraser 1). Outsourcing provides competition on several economic levels. It encourages competition between workers who apply for jobs, companies, and international economies (USA Today). It also has the positive effect of promoting free trade throughout the globe (Singer 1).
Nothing says “go for it” like making a fast buck. It motivates the world in hopes to make the fastest dollar possible at no thought of caring for the consequences. While outsourcing may seem attractive because it basically increases capital which results in the cutting American jobs of those who have done a great deal for a company while putting in many years of service. Take for example IBM in the southern part of New York. Years ago in Endicott, New York, IBM employed much of the community and because of the attractiveness of outsourcing to owners, Endicott has lost a lot of its economical luster (Gomberg 1).
In January 2004, the United States Bureau of Labor reported an unemployment rate of 5.6 percent. That number seems relatively low, but not when that amount in percentage comes to equal eight million people (Gomberg 1). Eight million people can be the equivalent to the city of New York (“Top 50 Cities in the U.S. by Population and Rank”) full of unemployed people.