I think our problem is currency related. Truly. I explained why on another thread.
Oracle to double staff in India to 6,000
I cut and paste the response here:
To anyone who will listen:
Labor is (relatively) cheap in India and expensive here because we are exporting inflation (paper dollars) to them and they are exporting deflation to us.
The reason we CAN export inflation is because the government is creating it.
Get the government to stop creating inflation and then we will stop exporting it and the foreigners will stop exporting deflation to us.
It really is about that simple. These problem with jobs leaving the US are currency related.
Expect these problems to continue as long as the government creates inflation and we export inflation.
The only way to stop the inflation spiral is to return to sound money, and that is understood to be gold and silver coinage and money substitutes (paper dollars, computer bits) that are redeemable and not in excess of the gold and silver coin on deposit somewhere.
DO THIS---and suddenly (because money becomes relatively scarce compared to when it was credit manufactured at zero cost) foreign labor will not look so cheap, and the temptation to send it out of the country will be gone. It will stay at home and only enough will leave (or come in) to balance small international trade imbalances. Foreign goods will again be paid for by local goods going the other way, not credit. Americans will be back at work and it will be done without "protectionist" trade barriers. The national debt will no longer be necessary because nearly all currency will be real instead of credit (except for some bills of exchange sort of credit). There might be some slight 1-2%/yr deflation in prices over time but it would be benign compared to the massive wage, salary, deflation felt by workers whose services in America are no longer needed because foreigners will work for 10% of what Americans will work for in paper dollars terms---as we export inflation to them and they export deflation to us.
If you found the above the least bit thought provoking, please read post 42 of this thread.
I can also be pessimistic as too what such beautiful blooms of intelect mean -- for I have grown tomatoes, and I now that to force the fruit, you slaughter the roots.
Yet great ideas are like the finest seeds -- they will survive even if we do not.