Infy hopes new US govt will continue outsourcing

[OhioChick]

Source: Zee News India

Bangalore, Aug 29: In the backdrop of US presidential nominee Barack Obama's comment on offshoring, India's second largest software exporter Infosys Technologies today said it hopes the new government in America would formulate a policy that would ensure continuance of outsourcing.

"Outsourcing has made the American industry much more competitive. I hope Barack Obama will come out with a policy by which outsourcing will continue," Infosys H R Director T V Mohandas Pai told reporters, while reacting to Obama's comments on outsourcing.

India's software exports, led by companies like Infosys, TCS and Wipro. draw over 70 per cent of revenue from the US market.

"Obama has only reiterated his position on outsourcing, which he has been saying all along," Pai said.

Obama today said if elected to the post, he would not give any tax sops for companies that outsource work out of the country.

"I will start giving them (tax breaks) to companies that create good jobs right here in America," Obama had said in his acceptance speech.


Read more: http://www.zeenews.com/articles.asp?aid=465404&sid=BUS&ssid=50

[musette_sf]

1. the buffet will be over

for the Pigs At The Trough

too bad, so sad

[Tandalayo_Scheisskopf]

2. It is interesting that...

Both China and India, who have made so much out of the outsourcing/offshoring, can turn around and tariff our goods in the manner that they do.

Frankly, ending the tax breaks should be just the beginning. An audit of the companies that have claimed these tax breaks, to see how they have abused them and where(because you know they have), should follow closely. And prison after that. Long prison.

And whoever built that tax break into law should be called before congress and grilled unmercifully and invested for quid pro quos.

[Pete2069]

5. What makes me sick

Is we still have democrats that ok the outsourcing and believe
it helps us.

How in the h... , can any of our elected officials , much less
the democrats see the total destruction that Outsourcing our
jobs , manufacturing plant and this illegal war has done to
our country...

We need a method to recall our representative when they abuse
their power and screw over our country and citizens like has
happen in to last 7 years.

No one or all three branches of our government should ever be
allowed to pass the laws and perform the damage and
destruction which this administration has done in the past
years.

[trthnd4jstc]

3. A Corporation should be taxed more heavily, if not a US corp.

And Corporations that keep jobs in the US should pay less taxes.

[mtf80123]

6. That and increase import tariffs.

[ihavenobias]

4. K & R

[MannyGoldstein]

7. Raise Tarrifs Through The Roof

There's no way Americans can compete with $2-a-day workers. We need to have high tariffs on these folks, like they do in Europe. It's the only thing that works.

[FatDave]

8. But if we do that...

...we'll have to start manufacturing in this country again! And everybody knows, Americans don't want manufacturing jobs!

[pampango]

9. I agree that we would have to raise tariffs to keep foreign companies from building the same

factories in China, India, etc. that we seek to keep American companies from doing by stopping outsourcing. Just stopping outsourcing alone would not prevent foreign companies and governments from building factories and exporting the same goods to the US.

Of course, raising tariffs makes it likely other countries will do the same to us which will hurt our exporters and we are the second largest exporter in the world after Germany. (How Germany with its smaller population and high-wage, high-benefit economy can export more than any other country, I don't know.) We would have a lot of export-related jobs at stake if everyone raised tariffs.

Since the countries of Europe belongs to the WTO that is the first I have head that they have high tariffs on "these folks" (people who live in Third World countries?). They have to follow the same rules regarding tariffs that other members of the WTO follow. Besides high tariffs on imports made by poor people in poor countries hardly sounds like a progressive policy.

[AdHocSolver]

16. The benefits to Americans from reducing imports to promote domestic production is much greater than-

would be any loss of exports due to import quotas or tariffs.

The huge trade deficits are causing devaluation of the dollar which is one cause for higher prices in the U.S. The loss of jobs means reduced income tax collections (unemployed people don't pay income taxes) and is a major cause of reduced expenditures for infrastructure and education in this country, among other problems. (This goes beyond the tax breaks for the rich.)

If we bought what was made here rather than importing everything, then the outflow of money from the U.S. would decrease substantially. Even if wages never rise in China or India, the devaluation of the dollar because of our huge foreign debt will lead to inflation in the U.S. and a lower standard of living.

Beyond that, I read somewhere that the biggest exports from the U.S. are foodstuffs and weapons systems. The more food we export, the higher will be the cost of food for Americans, as the supply of food for sale in this country is reduced. In fact, the U.S. is importing food from abroad which is lower priced (because of cheaper labor) as American agribusinesses are selling the same foods manufactured here to foreign countries willing and able to pay a higher price for it. This is economic insanity. The cost of food in both countries is going up for the people.

As for selling weapons systems, this doesn't help most Americans because many of the parts used in our weapons systems are imported from foreign countries that use cheaper labor. Many of these weapons systems are being sold to our "friends" like Saudi Arabia that get so much of their wealth from selling us oil at inflated prices. In effect, these weapons systems purchases are being financed and subsidized by the U.S. consumers and taxpayers. In addition, these advanced systems are being sold to unstable countries with despotic governments.

As for foreign countries imposing high tariffs for U.S. goods, the corporations are in collusion with those countries to have an excuse not to manufacture anything in this country.

The economics doesn't make sense to a lot of people because they don't look at what is being done from the standpoint of benefitting the corporations. If you see how the corporations benefit, as I have explained very briefly here, then it all makes perfect sense.

What makes no sense is why so few Americans understand what is going on and why the corporations continue to get away with this piracy.

[OhioChick]

11. You got it.

:thumbsup:

[BearSquirrel2]

10. In related news ...

In related news US enrollment in IT and other high tech fields drop because why the fuck would you want to spend 4 years of your life studying your ass off when they're just going to send your job oversees.

Serious, fucking uneducated steel workers haul in $70,000 to $100,000 per year and programming jobs keep going overseas. So why be smart when you can be a lucky grunt?

I'm not saying you shouldn't make good money for blue collar jobs. But there has to be an incentive system to make Americans smarter.

[ChromeFoundry]

12. boy, they certainly don't like it when the coin is about to be flipped.

Take notice right now how all these Indian Companies are rapidly acquiring many of the US owned tech. companies. Hopefully Obama can carve off the tax breaks fast enough before all these companies are foreign owned, and spur the growth of new startup tech companies.

When you only have one store in the area to shop at, everyone would be forced to shop at one store.

[Skittles]

13. outsourcing is destroying America

and I have to say of all the outsourcing centers I deal with around the world, BANGALORE IS THE FUCKING WORST

[OhioChick]

14. I agree with you 100% n/t

[AdHocSolver]

15. Offshoring == huge trade deficit == devalued dollar == higher prices for Americans (inflation).

Moreover, offshoring == fewer working Americans == less income tax revenue == (less money for infrastructure and less money for education) == lower standard of living for Americans.

This is the current economic math. America is being looted by pirates.

All the talk about "free trade" and the supposed economic benefits is sheer nonsense. NAFTA, the WTO, the IMF, etc. are cartel agreements to ensure that "free trade" never happens.

One reason China is making out like bandits (literally) is because they have de facto tariffs and import quotas to protect their industries from "competition". Our corporations complain that they can't "compete" with China because of these protectionist policies. Yet the corporations have ways to force China to modify these policies by using the WTO and other agreements. They don't do so because they don't want to change anything.

If the corporations fought China on this then they would have to reduce their importation of cheap Chinese goods, and actually reopen factories in the U.S. to obtain goods to sell. The huge profits made by importing corporations would drop if they did that. The corporate complaints about Chinese trade policies is smoke and mirrors. The corporations are colluding with the Chinese and want this practice to continue.