As I recall, the intellectual justification for borderless trade was that we would benefit because Americans would outsource manufacturing “buggywhips” and move along to MORE efficient and productive things which would be a win/win. What we actually got, however, was more and more Americans went from making buggywhips to watching Oprah and the Kardashians and wasting time social networking about the latest Oprah show on Facebook.
You're mixing up the results of ignorant welfare policies with outsourcing. Williams states in the article that only 13% of manufacturing job losses were because of foreign outsourcing. The remaining were lost by productivity gains. The increased productivity provides the income to pay for the welfare programs. It's the ignorant Democrat policies that actually put them in place.