September 23, 2008

Understanding New Trends in Outsourcing

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In the 1950's it would have been difficult to imagine the American economy without a strong manufacturing sector, but many changes have led to the rise of the service economy. With the information revolution we saw the rise of jobs in high-tech IT positions, computer programming, and communications while new tools paved the way for opportunities in scientific fields like research and development, engineering, and medicine. These highly productive fields have led to higher wages, but with the rise of high-skilled workers overseas, some have started to worry about outsourcing risk to these new service sector positions.

To investigate these issues, Dr. J. Bradford Jensen of Georgetown University presents an insightful look at new trends in outsourcing in the services sector and at the impact seen on the labor market.