Articles about Globalization in the Press

Outsourcing, Offshore Manufacturing, Unemployment, and Politics

See this page for more press clippings, mostly on politics and society

 

  • Articles from The New Yorker

    • August 2, 2004. by John Cassidy, Winners And Losers, The Truth About Free Trade. N. Gregory Mankiw, the chairman of the White House Council of Economic Advisers, is a tall, mild-mannered Harvard scholar, widely admired within his profession for his sharp mind and clear exposition. He joined the Bush Administration last year, replacing Glenn Hubbard, who returned to Columbia University, and during his first nine months in Washington he attracted little attention, which suited him fine. However, in February, Mankiw found himself in the headlines after he described outsourcing-the shifting abroad of previously secure jobs, such as accounting and computer programming-as "the latest manifestation of the gains from trade that economists have talked about at least since Adam Smith." As Mankiw put it, "Outsourcing is just a new way of doing international trade. . . . More things are tradable than were tradable in the past and that's a good thing."
    • July 5, 2004. By Katherine Boo, The Best Job In Town; The Americanization of Chennai. One Monday this spring, a forty-three-year-old salesclerk at the Home Depot in Plano, Texas, scribbled some updates onto an old resume and took it to his local copy shop. To his education and work history-a bachelor's degree in industrial engineering and technology, service in the U.S. Marine Corps-he added a recent moonlighting job as a handyman and a new "career objective." Ten minutes later, in southern India, a middle-aged Hindu man in a cavernous workplace began to type the Home Depot clerk's words. A prevailing fiction in the Indian office was that the dozens of "document specialists" doing American work didn't actually register the content of the resumes, funeral programs, pro-se lawsuits, and erotic manifestos sent to them over broadband from store counters with "While-U-Wait" signs. Rather, the document specialists were to type, format, proofread, and zap things back while maintaining an exquisite blankness of mind. But American resumes, as much as American erotica, caused an inconvenient upwelling of emotion. "To secure a position at a company that would utilize my skills and provide an opportunity for advancement": row upon row of typing Indians recognized the Plano clerk's yearning as their own.
  • Articles from The New York Times

    • August 23, 2005. By Steve Lohr, A Techie, Absolutely, and More. Jamika Burge is heading back to Virginia Tech this fall to pursue a Ph.D. in computer science, but her research is spiced with anthropology, sociology, psychology, psycholinguistics - as well as observing cranky couples trade barbs in computer instant messages. "It's so not programming," Ms. Burge said. "If I had to sit down and code all day, I never would have continued. This is not traditional computer science." For students like Ms. Burge, expanding their expertise beyond computer programming is crucial to future job security as advances in the Internet and low-cost computers make it easier to shift some technology jobs to nations with well-educated engineers and lower wages, like India and China. "If you have only technical knowledge, you are vulnerable," said Thomas W. Malone, a professor at the Sloan School of Management at Massachusetts Institute of Technology and the author of "The Future of Work" (Harvard Business School Press, 2004). "But if you can combine business or scientific knowledge with technical savvy, there are a lot of opportunities. And it's a lot harder to move that kind of work offshore."
    • June 19, 2005. By Eduardo Porter, True or False: Outsourcing Is a Crisis. If you read only the headlines, the future of globalization may seem scary, indeed. American jobs have already been heading abroad. And as telecommunications and more powerful computers enable companies to take even more jobs overseas, the service sector, which accounts for about 85 percent of the United States work force, will be increasingly vulnerable to competition from the cheap labor pools of the developing world. So the question looms: Is America on the verge of losing oodles of white-collar jobs? Probably not. The threat of global outsourcing is easily overstated.
    • June 3, 2005. By Thomas L. Friedman, A Race to the Top. It was extremely revealing traveling from Europe to India as French voters (and now Dutch ones) were rejecting the E.U. constitution - in one giant snub to President Jacques Chirac, European integration, immigration, Turkish membership in the E.U. and all the forces of globalization eating away at Europe's welfare states. It is interesting because French voters are trying to preserve a 35-hour work week in a world where Indian engineers are ready to work a 35-hour day. Good luck. Voters in "old Europe" - France, Germany, the Netherlands and Italy - seem to be saying to their leaders: stop the world, we want to get off; while voters in India have been telling their leaders: stop the world and build us a stepstool, we want to get on. I feel sorry for Western European blue collar workers. A world of benefits they have known for 50 years is coming apart, and their governments don't seem to have a strategy for coping.
    • June 2, 2005. By David Brooks, Fear and Rejection. Forgive me for making a blunt and obvious point, but events in Western Europe are slowly discrediting large swaths of American liberalism. Most of the policy ideas advocated by American liberals have already been enacted in Europe: generous welfare measures, ample labor protections, highly progressive tax rates, single-payer health care systems, zoning restrictions to limit big retailers, and cradle-to-grave middle-class subsidies supporting everything from child care to pension security. And yet far from thriving, continental Europe has endured a lost decade of relative decline.
    • April 3, 2005. By Thomas L. Friedman. It's a Flat World, After All. Globalization 1.0 (1492 to 1800) shrank the world from a size large to a size medium, and the dynamic force in that era was countries globalizing for resources and imperial conquest. Globalization 2.0 (1800 to 2000) shrank the world from a size medium to a size small, and it was spearheaded by companies globalizing for markets and labor. Globalization 3.0 (which started around 2000) is shrinking the world from a size small to a size tiny and flattening the playing field at the same time. And while the dynamic force in Globalization 1.0 was countries globalizing and the dynamic force in Globalization 2.0 was companies globalizing, the dynamic force in Globalization 3.0 -- the thing that gives it its unique character -- is individuals and small groups globalizing.
    • July 4, 2004, Sunday Magazine. By Ted C. Fishman, The Chinese Century. China is everywhere these days, influencing our lives as consumers, providers, citizens. It has by far the world's most rapidly changing large economy, and our reactions to it shift just as quickly. China is at one moment our greatest threat, the next our friend. It siphons off American jobs; it is essential to our competitive edge. China is the world's factory floor, and it is the world's greatest market opportunity.
    • March 4, 2004. By Thomas L. Friedman, Small and Smaller. I confess: I missed this revolution. I was totally focused on 9/11 and Iraq. But having now spent 10 days in Bangalore, India's Silicon Valley, I realize that while I was sleeping, the world entered the third great era of globalization. The first era, from the late 1800's to World War I, was driven by falling transportation costs, thanks to the steamship and the railroad. That was Globalization 1.0, and it shrank the world from a size large to a size medium. The second big era, Globalization 2.0, lasted from the 1980's to 2000, was based on falling telecom costs and the PC, and shrank the world from a size medium to a size small. Now we've entered Globalization 3.0, and it is shrinking the world from size small to a size tiny. That's what this outsourcing of white-collar jobs is telling us — and it is going to require some wrenching adjustments for workers and political systems.
    • January 6, 2004. By Charles Schumer and Paul Craig Roberts. Second Thoughts on Free Trade. We are concerned that the United States may be entering a new economic era in which American workers will face direct global competition at almost every job level — from the machinist to the software engineer to the Wall Street analyst. Any worker whose job does not require daily face-to-face interaction is now in jeopardy of being replaced by a lower-paid, equally skilled worker thousands of miles away. American jobs are being lost not to competition from foreign companies, but to multinational corporations, often with American roots, that are cutting costs by shifting operations to low-wage countries.