By Fareed Zakaria
There’s one issue on which Mitt Romney and Barack Obama are in agreement – outsourcing. Every week, politicians on both sides of the aisle bash outsourcing. Each accuses the other of shipping jobs to China.
But what is so bad about outsourcing? Let’s look at the facts.
A common misconception about outsourcing is that it is a zero sum game, and by that I mean when an American job is moved to China, we tend to read the score as China +1, America – 1. But a recent study from the London School of Economics reviewed 58 American industries between 2000 and 2007. It found that rather than limiting jobs for Americans, immigration and offshoring actually improved the domestic job market.
Watch the video for Fareed's full take from Sunday’s show on how Americans benefit from outsourcing. Fareed Zakaria GPS airs on Sundays at10 a.m. and 1 p.m. ET.