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Powell reassures India on outsourcing

Posted on 03/16/2004 10:45:45 PM PST by lewislynn

March 16, 2004, 9:09PM

Powell reassures India on outsourcing

By STEVEN R. WEISMAN

New York Times

NEW DELHI -- Secretary of State Colin Powell, encountering the other side of a tempestuous debate in the United States, sought to assure Indians on Tuesday that the Bush administration would not try to halt the "outsourcing" of high-technology jobs to their country.

In a round of conversations with Indian leaders and college students, Powell found that the issue of the transfer of American jobs to India -- known as outsourcing -- by leading technology companies was as emotional in India as in the United States.

But whereas American politicians have deplored the loss of such jobs, it was clear that the anxiety in India focuses on threats by some in Congress to try to stop the transfer by legislation.

"Do you support outsourcing, or are you against it?" a questioner asked Powell in the session with students.

"Outsourcing is a natural effect of the global economic system and the rise of the Internet and broadband communications," Powell said. "You're not going to eliminate outsourcing. But at the same time, when you outsource jobs it becomes a political issue in anybody's country."

The secretary told the students what he had said to reporters earlier in the day after a meeting with Foreign Minister Yaswant Sinha -- that an appropriate American response to outsourcing was to press India and other countries to open up to imports of American investments, goods and services.

Powell emphasized that one purpose of his trip was to explain to India that, because outsourcing had created a political problem in the United States, India could help by lowering its trade barriers.

The secretary emphasized that he was making this request not as a condition for the United States allowing outsourcing to continue but because it was in India's interest to be more open.

At times, Powell sounded almost as if he were participating in the U.S. presidential campaign.

In February, Gregory Mankiw, chairman of the White House Council of Economic Advisers, stirred a political outcry when he called the outsourcing of jobs a long-term "plus" for the economy. While Powell said Tuesday that "it is the reality of 21st century economics that these kinds of dislocations will take place," he was quick to add that the Bush administration would work to train people for new jobs.


TOPICS: Business/Economy; Crime/Corruption; Culture/Society; Extended News; Foreign Affairs; Government; Politics/Elections
KEYWORDS: india; outsourcing; powell; trade

1 posted on 03/16/2004 10:45:45 PM PST by lewislynn
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To: lewislynn
Secretary of State Colin Powell, encountering the other side of a tempestuous debate in the United States, sought to assure Indians on Tuesday that the Bush administration would not try to halt the "outsourcing" of high-technology jobs to their country.

What a relief! I was so worried about this. It's so nice to know that the Bush Administration is doing its level best to represent the interests of India. Whatta Guy.

2 posted on 03/16/2004 11:06:06 PM PST by WRhine
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To: lewislynn
Personally I think we should outsource the job of FCC Commissioner.
3 posted on 03/16/2004 11:07:41 PM PST by OneTimeLurker
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To: lewislynn
the Bush administration would work to train people for new jobs.

They're going to start an accelerated trial lawyer university? Suing the remaining wealth out of this country is the only major growth industry left.

4 posted on 03/16/2004 11:08:46 PM PST by Reeses
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To: lewislynn
Secretary of State Colin Powell, encountering the other side of a tempestuous debate in the United States, sought to assure Indians on Tuesday that the Bush administration would not try to halt the "outsourcing" of high-technology jobs to their country.

Because we owe India so much, don't you know.

5 posted on 03/16/2004 11:09:51 PM PST by Euro-American Scum (A poverty-stricken middle class must be a disarmed middle class)
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To: lewislynn
Powell is right on. People need to stop whining about being jobless and get off their asses. They're just a bunch of lazy tards. If your job is outsourced, don't sit their and whine, start your own company. Powell has got the right idea - appeasing whiners is not going to get Bush re-elected. Strong leadership will.
6 posted on 03/16/2004 11:15:53 PM PST by HiramAbiff
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To: HiramAbiff
Powell has got the right idea - appeasing whiners is not going to get Bush re-elected.

This entire article is about Powell appeasing whiners.

7 posted on 03/16/2004 11:20:02 PM PST by lewislynn (Free traders know it isn't , they just believe cheap popcorn makers raises their living standards.)
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To: lewislynn
"...he was quick to add that the Bush administration would work to train people for new jobs..."

Speaking as someone who really did lose his job as a direct result of his company outsourcing to India, all I can say is "show me the money!"

There's jobs out there for those who have super-duper-specialized up-to-the-minute skills, or for those who are absolute gurus in their chosen field, but for the rest of us "average joes," we are just S.O.L.

I've always prided myself on being able to get a job no matter what the economic conditions have been, but when you have a mortgage, kids, and various payments and bills, a job at the Home Depot ain't gonna cut it. Nor is there the capital to start your own business, especailly at a time where so many small businesses are going door-to-door selling their wares (or even to eBay) just to stay alive for another day.

In a recent poll, 7% of the business in my area said they are planning to add people to their workforce. Another 7% said they are going to lay-off more people. And 86% said they are going to do whatever they can just to maintain their current level of employment. This after two+ years of negative job growth. Not a happy picture.

I don't blame either Bush or India for this mess, it's just the way the ball bounces. The economy is healthy, or at least it seems that way for now. Someday, there might even be jobs again, but not this year.

8 posted on 03/16/2004 11:34:54 PM PST by Ronzo (GOD alone is enough.)
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To: HiramAbiff
If your job is outsourced, don't sit their and whine, start your own company.

Like in Iraq where 58% of the work-force is self-employed and the average household income is $164 per month? We can all start raising goats so India can become the new America.

When Columbus discovered America he thought it was India and called the natives Indians. He immediately started outsourcing his sailors.

9 posted on 03/16/2004 11:38:43 PM PST by Reeses
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To: lewislynn
I'm glad, for one (and probably only one) that the administration is sticking to its guns on trade.

We make a lot more money selling stuff to India than we lose from "off-shoring".

And I'm another of those 50 year old IT guys who lost his job in 2001 and now work in another field for 1/2 the money. Tough (and it is).

But what's best for me isn't necessarily what's best for all of you. And the only alternative would have been for the gov't to give my former employer a subsidy to keep me on board when they didn't really need me.

So, yes, I could have kept spending my rather nice salary and kept contributing to the economy. But, the results would have been negated by the money you all paid the government to keep me employed.

And don't think I'm trying to play the martyr -- I'm not. It's just common-sense that the country's citizens should spend their money where it benefits them the most.

And it's up to me to get myself back to where I want to be; it's not your fault or responsibility.

10 posted on 03/16/2004 11:40:45 PM PST by BfloGuy (The past is like a different country, they do things different there.)
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To: BfloGuy
And I'm another of those 50 year old IT guys who lost his job in 2001 and now work in another field for 1/2 the money. Tough (and it is). And you won't have that job in 4 more years. Guess they we "retrain" you. What are they going to retrain you in? Think about it because it is going to get very real for you. It is prue rubbish. Welcome to the third world.
11 posted on 03/17/2004 1:43:54 AM PST by CasearianDaoist (Nuance THIS!)
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To: Reeses
Like in Iraq where 58% of the work-force is self-employed and the average household income is $164 per month?

Maybe, but what's that income in Purchasing Power Parity terms? I'm betting that $164 per month can give you a lifestyle just about equivalent to the lower middle class over here.
12 posted on 03/17/2004 2:54:47 AM PST by Cronos (W2K4!)
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To: Cronos
I'm betting that $164 per month can give you a lifestyle just about equivalent to the lower middle class over here.

Is that your goal in life?...lower middle class?

Maybe, but what's that income in Purchasing Power Parity terms

Next thing you'll hear is that Iraq is another one of "our trading partners"...Just think of the American made products(are there any?)they can buy with their $164.00 a month "purchasing power"...

Speaking of Iraq. I hope you too are enjoying those low gas prices from that flood of Iraqi oil to increase supply and bring down prices.

13 posted on 03/17/2004 7:00:37 AM PST by lewislynn (Free traders know it isn't , they just believe cheap popcorn makers raises their living standards.)
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To: BfloGuy
We make a lot more money selling stuff to India than we lose from "off-shoring".
Powell emphasized that one purpose of his trip was to explain to India that, because outsourcing had created a political problem in the United States, India could help by lowering its trade barriers.

You say "we" as if that includes you. What are you or we selling to India?

14 posted on 03/17/2004 7:04:49 AM PST by lewislynn (Free traders know it isn't , they just believe cheap popcorn makers raises their living standards.)
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To: BfloGuy
But what's best for me isn't necessarily what's best for all of you.

I don't know how you figure you earning half of what you once earned is good for the rest of us.

And the only alternative would have been for the gov't to give my former employer a subsidy to keep me on board when they didn't really need me.

I hope you don't really believe that's the only alternative...

Why couldn't you have kept your IT job at half the pay?...Were you even given that option?...I didn't think so.

15 posted on 03/17/2004 7:24:02 AM PST by lewislynn (Free traders know it isn't , they just believe cheap popcorn makers raises their living standards.)
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To: lewislynn
What are you or we selling to India?

Pepsi, Coca Cola, Lever, Ford, GM etc. are all selling stuff in India -- that boosts their profits here that go into the shareholder's (that's yours and my) pockets
16 posted on 03/17/2004 9:38:39 AM PST by Cronos (W2K4!)
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To: HiramAbiff
appeasing whiners is not going to get Bush re-elected

Nor will siding with CEOs making 8-figures yet claiming the need to "cut costs" and shipping thousands of jobs to India.

17 posted on 03/17/2004 9:40:55 AM PST by gonewt
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To: gonewt
"Nor will siding with CEOs making 8-figures yet claiming the need to "cut costs" and shipping thousands of jobs to India."

You get what you deserve. CEOs work for their money. No one has a "right" to a job. No one is "entitled" to a living. That is a socialist LIE. If you don't have a job, get off your ass and start your own business. American workers are lazy and used to Union rules that codify laziness. Maybe now that the jobs are going to people who will actually work for their money, the Unions will finally realize that encouraging laziness doesn't work. Socialism is just laziness. It has destroyed the job market here.
18 posted on 03/17/2004 9:56:37 AM PST by HiramAbiff
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To: Cronos
Powell emphasized that one purpose of his trip was to explain to India that, because outsourcing had created a political problem in the United States, India could help by lowering its trade barriers.

-----

The secretary told the students what he had said to reporters earlier in the day after a meeting with Foreign Minister Yaswant Sinha -- that an appropriate American response to outsourcing was to press India and other countries to open up to imports of American investments, goods and services

that boosts their profits here that go into the shareholder's (that's yours and my) pockets

Great, so losing your job, hence not being able to buy a new Ford or GM here will be offset by Indians earning less than half your wage buying them there...when you're job goes to India you can always sell your Ford, GM and Pepsi stock to get by.

19 posted on 03/17/2004 10:05:32 AM PST by lewislynn (Free traders know it isn't , they just believe cheap popcorn makers raises their living standards.)
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