Why would someone outsource chip making, or even computer manufacture? (hint: check the effect of the EPA and environmental policy on the processes involved).
Good question.
The big tech companies for whom I have done extensive work over the years... outsource to save money... they say.
They get to hire people at a lower rate on a visa program, and from the time they start working here, after import, they are in constant FEAR of their lives.
Closest thing to the ‘indentured’ servant/ aka slave as I have ever met. They often have degrees, but cannot invent, adapt or create technology... and are under constant threat.
If you are making say, 65 g a year as a tech import, and you are from India... or China... or Japan... going home with no job, and scrapping to make 3 dollars a day, is not an option. When they come here and are married, the threat is their husband, wife, children, dissolution of their family upon discharge from the job and loss of everything humans care about.
And an upper middle class american who is worth his chops in technology trades can pull down close to 150 g - 200 g a year. at the big 10, senior level technologists have to also be paid benefits and bonuses. that bump that by an additional 20 percent.
So, what they do is bring in the 45-65 k a year indentured slave, to memorize the bulk of the innovator/implementor American worker/technologist for 8-12 mos and then fire the higher paid worker who developed the new 3d software, or the newest chip/motherboard configuration.
But the imports don’t always do as well as accounting and investment product line administrators expect. Product lines fail. Proprietary design and techno concepts are stolen, taken back to the country of origin and passed to the countries who tariff the hell out of our ‘original’ product, and scream bloody murder when the US threatens to tariff them equally, or manipulate the currency structure to offset the losses.
the idea sold to us as free trade carried with it the no hidden manipulation structure agreed to by member nations and companies.
Over time, the other countries skirt the agreement, and when we threaten to do likewise, the people getting rich around the world... scream, USA is threatening us with protectionism.
Why do companies and nations do that?
GREED, THEFT and CHEATING helps them stay afloat and build the nukes they want to kill us all with.
And the world trade people and their sycophants, buy parties, candidates, governments and organizing structures to keep the graft train rolling.
And although I have great hopes that Trump will terminate that whole structure... I doubt they will let him ever take office. I am concerned for his life, or the life of anyone who stands up to them. they own the republican party as the GOPe.. and they own the Hillary branch of the democrat party.
Bernie, commie that he is, would never get to take office either. Too damned nationalistic and a loose cannon.
I am worried about the jfk type of hit on Trump... and I suspect that Hillary is slated for health reasons to be dropped and replaced by Obama’s next right hand team.
We shall see.
That is a quick summary of what I have seen of outsourcing in the USA. Somebody get me a cheeseburger.