| ▲ | echelon 13 hours ago | ||||||||||||||||||||||
Our competitors in another country will have no problem building those products. Then they'll be sold in America to American consumers. Then our industry deflates, because we can't compete on cost or labor scale / innovation. If we put up tariffs, we get a short respite. But now our goods don't sell as well overseas in the face of competition. Our industries still shrink. Eventually they become domestically uncompetitive. So then what? You preserved some wages for 20 years at the cost of killing the future. I think all of these conversations are especially pertinent because AI will provide activation energy to accelerate this migration. Now is not the time to encourage offshoring. | |||||||||||||||||||||||
| ▲ | bluecheese452 13 hours ago | parent | next [-] | ||||||||||||||||||||||
If my job is shipped to India today why would I care that twenty years later the boss is Indian instead of American? | |||||||||||||||||||||||
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| ▲ | jandrese 13 hours ago | parent | prev | next [-] | ||||||||||||||||||||||
Turns out this is a difficult problem with no one good solution. Subjecting labor to a race to the bottom is probably the most efficient individual system from a capitalist standpoint, but it destroys itself just as much as your customers can no longer afford to buy most of the products made. The selfish strategy ruins the entire system if everybody does it. Capitalism and Communism have opposite problems. Communism attempts to manage the markets from a top down approach, making it relatively easy to handle systemic problems but almost impossible to optimize for efficiency because there is far too much information that doesn't make it to the top. Capitalism by contrast pushes the decisions down to where the information is, allowing for excellent efficiency but leaving it blind to systemic problems. So the best solution is some kind of meet in the middle approach that is complex and ugly and fosters continual arguments over where lines should be drawn. | |||||||||||||||||||||||
| ▲ | johnnyanmac 12 hours ago | parent | prev [-] | ||||||||||||||||||||||
Innovation is why american salaries in tech are so high. They funded trillion dollar companies. If that becomes so much of a commodity that some other countries can do it for pennies on the dime, then yes. Salaries will deflate. But we sure aren't offshoring (nor using most H1bs) to see more innovation. Quite the opposite. Tech isn't manufacturing where the biggest supply line wins by default. That's why I'm not holding my breath that the US isn't going to be outcompeted on talent anytime soon. Of anything, its own greed will consume it. | |||||||||||||||||||||||