Reply #19: But substantially [View All]

Globalization doesn't necessarily mean the pursuit of the lowest wage. You might also set up or acquire a branch of a business where there was a concentration of skilled or well-educated workers in proximity to a market for your product. I don't like when it's primarily motivated by exploitation, but I'm in favor of free trade and globalization when standards are adhered to. Honest, ethical competition is a good thing, but it doesn't grab the headlines to the same extent.

I have in-laws in Viet Nam, some of whom work in the garment industry; those are often regarded here as sweatshop jobs, but according to my in-laws the pay, conditions, and career value (ie a good employer on your resume) are quite superior to similar jobs in the domestic marketplace. The first ten years of my career, I worked (in the UK) for a French computer company and later for American financial-sector and technology companies who had offices in the UK. This was before the word 'globalization' became fashionable but it's the same idea.

I don't think it's inherently better or worse than domestic industry. Indeed, foreign competition for labor in a domestic market can often improve pay or working standards. Remember that as companies grow, more people can afford to buy different products and markets expand. It's not like there's only a fixed amount of work available and when some of it goes overseas the same amount is necessarily subtracted at home.