When it comes to outsourcing and offshoring, I tend to lean towards the other direction. Yes, outsourcing has some negative impacts on the employees of the company that is being outsourced or offshored. Yes, many people lose their jobs and have to find other work.

BUT....

I think that we need to look at the situation from a more broad point of view. Look at it by focusing on the effects on the world economy. International trade and agreements are good! They encourage economic growth, not just in only one country, but in many. The world economy grows. If outsourcing and offshoring help the world economy grow, then why is the management of these companies known as crooks, or money-hungry, greedy thieves?

I'm sure that there are some people in the higher echelons of these companies that might not care much about their workers lower down on the chain, but let's not generalize. There are plenty of good people out there, who run very successful business, while still caring for their employees. For these good people, the concern isn't about squeezing every single penny they can out of a business without any feeling for the employee. These good people probably aren't modern-day Machiavellis, where they get what they want, no matter what the choice.

It boils down to this. These companies are presented with such dire situations, that the only option left is to outsource. Unions may be applying too much pressure to the management. Even when the companies can't afford to continually pay their employees their current wages, unions may not be willing to accept that. For the management, their last resort is to outsource.

So, what's the point to all this? Outsourcing is beneficial to the international economy, even if some people are inconvenienced with having to find other ways to make ends meet.

Nuclear Proliferation in North Korea

Because of recent weeks' events, there is no reason why anyone in the world shouldn't know about North Korea's testing of their first nuclear warhead. I have many different thoughts on this issue. Firstly, I feel like I should be slightly afraid. North Korea isn't that friendly to the United States, and they might have ideas to use their fledgeling nuclear program for terrorism. This makes me want to put all of my efforts into writing to our local government officials and urging them to do whatever they can to stop the North Korean nuclear growth.

But then again, another part of me wants to congratulate the scientists that made this possible. There are many brilliant minds in many countries other than our own. Shouldn't they also have the right to claim the honor of such a great scientific achievement. I don't like that the country may use it for war purposes, but you have to give them props.

Why should the US have any right to tell North Korea to destroy their nuclear program when the US has nuclear capabilities of their own. We do not have the right to be the world's policeman. Each country should be working to further their technological advances equally. What they choose to do with their new technology is their own prerogative. Hopefully, they choose to do good instead of evil. That is up to the prayers and faith of good people who wish to see a progressive world instead of one filled with destruction and the apocalypse.

Toshiba Tablet PC vs. Gateway Tablet PC

For this coming Christmas/Holiday season, I believe that Gateway tablet PCs will be in more demand than Toshiba tablet PCs in the market of college-bound students. First off, Gateway's tablets are much more affordable, starting at about $999, as opposed to Toshiba's $1512. Although Toshiba has more variety for their tablets than Gateway does, Gateway is still more affordable. Even if Toshiba's computers are more well-equipped for more extensive purposes, the majority of consumers in the market will not be knowledgeable enough to use all of the capabilities of the Toshiba computer. If the market notices this, then they will be willing to spend less for the amount of power that they are able to use. In conclusion, Gateway tablet computers will sell better than Toshiba tablets.

Recent Power Outage, Help Needed.

I know that this doesn't have to do with economics, but it doesn't matter. Because of the recent October surprise, and the power outages caused by it, my church, The Church of Jesus Christ of Latter-day Saints, and my family, are trying to gather a list of resources that some people might have to assist those in need in this situation. Some resources might include:

Generators,
Chain Saws,
Four-wheel Drive,
extra Heaters,
and any other things.

Those of you that are able to read this, if you have the resources available, and you aren't in need of them at this point, it would be appreciated by many if you would be able to temporarily donate such resources in this time of need. I know of a 75 yr old woman and her 55 yr old daughter, who have been bailing water out of their basement for the past 36 hours. So, these needs are for real. They are in need of a generator. Perhaps this blog will be a possibility of filling such needs. If any of you are able to help, just comment back to me on this blog, and we'll take it from there.

Thank you.

Hypocrisy in the Separate, but Similar Worlds of Sports and Entertainment.

Why is it that when professional athletes earn outrageous amounts of money, society is in an uproar? Doesn't society know that Oprah Winfrey, whom many laud as a great anthropologist, is the richest African American in the world?

Allen R. Sanderson, associate chair of the Department of Economics at the University of Chicago, addressed these questions and many more in his article, "The Puzzling Economics of Sports." Honestly, Sanderson had no idea why the economics of the worlds of sports and entertainment should be different. In my opinion, the economics of these two worlds should be very similar because they are based on three of the same very basic economic principles:

1. Scarcity
2. Supply and Demand
3. Human Behavior

The truth is that in the world of professional sports, there is a scarcity of players. Yes, there are many athletes out there that are talented, but relatively few are good enough to play professionally. Because there is a limited supply of such talented individuals, along with a huge demand, people are willing to pay them the big bucks.

It is the same way in the world of entertainment. With the exception of Keanu Reaves maybe, the majority of actors that we see in the movies are full of talent. But there aren't many actors out there that are good enough to be in the movies. Therefore, regular average joes like us are willing to spend $8.5o to see a movie in the theater.

When we see that Oprah is worth $1.4 billion, we say that she deserves it. Look at all the great things that she's done! But why doesn't Alex Rodriguez deserve to be paid $25 million per year?

I think that it needs to be looked at from a different position. A-Rod may not do as much good for the global community as Oprah does, so of course he doesn't need to be paid $225 million per year like she is. But...he does make the game of baseball more fun and exciting to watch. Is America willing to pay that kind of money to watch him play? Obviously, they are, because the Yankees almost sell out every game. If the public is so concerned about how much professional athletes are being paid, then it needs to stop paying so much money to attend their games.

What the public doesn't want to admit is that they love to watch sports! Human behavior shows that people will pay for what they want to see. It is irresistible. So, I agree with Sanderson. I don't see any reason why anyone should make a big deal about how much professional athletes are paid. It makes no sense when compared to the way the public treats movie stars. The truth is that it is the human tendency to pass judgment on situations without viewing them from the outside and looking at the "big picture."

WEEK THREE CURRENT EVENTS:
Ford Motor Co.

There are many factors that contributed to the financial decline of Ford in recent years. Such issues are competition, outsourcing, and product decisions.


Japanese competition is a huge factor. Toyota is one of the largest automotive company in the world. It is making good cars, for relatively cheap prices. The public likes the cars. They want to spend less on more efficient vehicles. Another reason for Ford's financial decline is that it didn't make the correct decisions in what cars to design.

Because of rising gas prices, the auto market has made a shift into more fuel-efficient, smaller cars. Ford has been spending a lot of money and time designing SUV-type vehicles. The engineers and designers of the cars just didn't look into the future and decide what they would do, if the gas prices raised as dramatically as they have. Other companies have outsourced many jobs, allowing them to lower prices, and in return gain more profit.

Assignment 1

1. The irony expressed by the letter is that the government is paying people to stop working in their present career. It would seem as if the government doesn't want farmers to be productive for some reason.

2. The government is attempting to rid the nation of the surplus of hogs. Or the government is possibly attempting to stop hog-raising in America, so that foreign investing may take place. Perhaps the government would prefer to import hogs. Or maybe perhaps the government is doing this so current hog-raisers will become more productive in a different trade which will be more useful to the government.

3. The critics of government used the literary tool of irony to convey their message. The letter is actually a form of satire to show the government the reality of their follies.

4. The social value that is being conveyed by the story is one of hard work. "There is no such thing as a free lunch!"

This lunch was definitely not free.

Scooby's expensive, don't you know?