Date registered: Jan 2005
Vehicle: 2006 ML350
Location: Chicago, IL
Mentioned: 0 Post(s)
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Bush: Outsourcing helps the U.S., too
President Bush found a bright side to outsourcing yesterday, saying that the loss of U.S. jobs to foreign countries helped create markets for American business.
"It's true that a number of Americans have lost jobs because companies have shifted operations to India," he said in a speech previewing his trip next week to India and Pakistan. "We must also recognize that India's growth is creating new opportunities for our businesses and farmers and workers."
Bush's visit to South Asia is intended to strengthen ties to two countries on the front lines in the war on terrorism. His diplomatic mission is complicated by long-standing antagonism between India and Pakistan, both of which have nuclear weapons ungoverned by the Nuclear Non-Proliferation Treaty.
Although the President made sure to cover major geopolitical issues in his speech, he acknowledged that many Americans were far more concerned about India's status as a magnet for jobs, especially in the high-tech sector. More than 1.2 million Indians work in high-tech jobs, many for U.S. companies or their affiliates.
Echoing a view widely shared by economists, Bush said the benefits from globalization more than offset the damage from jobs lost because of outsourcing.
"India's middle class is now estimated at 300 million people," he said. "That's greater than the entire population of the United States. And this middle class is buying air conditioners, kitchen appliances and washing machines - and a lot of them from American companies.
"Younger Indians are acquiring a taste for pizzas from Domino's, Pizza Hut," Bush said. "And Air India ordered 68 planes valued at more than $11 billion from Boeing."
But even with India's growing prosperity, Americans buy more goods from India than they sell to Indians. The United States had a $10.8 billion trade deficit with India last year, because even though U.S. exports to India have been steadily increasing, imports from India have risen more.
2006 ML 350 - Black, Appearance Package, Navigation System, Entertainment Package, Sunroof Package, Heated Seats, IPod Integration