According to the election-year bluster of politicians and pundits, the outsourcing of American jobs to other countries has become a problem of epic proportion.
Fortunately, this alarmism is misguided.
Outsourcing actually brings far more benefits than costs, both now and in the long run. If its critics succeed in provoking a new wave of American protectionism, the consequences will be disastrous -- for the U.S. economy and for the American workers they claim to defend.
This article appears in the May/June 2004 issue of Foreign Affairs.
The Outsourcing Bogeyman