[Reader-list] BOP becoming the election hot issues

[Monica Narula]

Over the last month or so, the heat on the Back Office IT industries 
is rising. The American elections are going to make this a really hot 
issue. Here we are not talking about real economic figures but 
symbolic figures that can project fears of entangled, networked 
capitalism. It will be interesting to see how this anxiety gets 
reflected into our public discourse.

Enclosed is todays news from the Indian Expresss.

best
M
http://www.indianexpress.com/full_story.php?content_id=41015
Kerry joins the chorus: I'll never 'export' jobs
Blasts Bush advisor for saying outsourcing is a win-win equation
T V PARASURAM

WASHINGTON, FEBRUARY 12 : Democratic Presidential hopeful John Kerry 
has lambasted a key economic advisor to President George W Bush for 
defending outsourcing of IT jobs to countries including India.

Gregory Mankiw, Bush's Council of Economic Advisors' Chairman and 
noted Harvard economist, was attacked by the Speaker of the House of 
Representatives J Dennis Hastert and Senator Kerry for suggesting 
that outsourcing to India and other countries in which they have a 
comparative advantage is a ''win-win'' for both the exporter and 
importer.

''I understand that Mankiw is a brilliant economic theorist but his 
theory fails a basic test of real economics. We can'T have a healthy 
economy unless we have more jobs here in america, said Speaker 
Hastert, the Legislative Leader of the Republicans.

Joining the Republican Speaker in attacking outsourcing, Senator 
Kerry said that if he becomes President, his economic policy would be 
''not to export American jobs but to reward companies for creating 
and keeping jobs in America.''

In response to Hastert's remarks, Mankiw said in a statement: ''some 
of my recent comments on outsourcing have been misinterpreted. It is 
regrettable whenever anyone leaves a job. Some would respond to the 
recent challenges facing the economy by erecting trade barriers. 
History teaches that a retreat to economic isolationism would mean 
lower living standards for American workers and their families.''

''At the same time, we have to acknowledge that any economic change, 
whether arising from trade or technology, can cause painful 
dislocations for some workers and their families. The goal of policy 
should be to help workers prepare for the global economy of the 
future,'' Mankiw said.

Asked if Bush might fire Mankiw because of the views expressed by the 
speaker, White House press secretary Scott McClellan called the idea 
of sacking him ''laughable.''

''Our economic team,'' said McClellan, ''is doing a great job helping 
the President work to strengthen our economy even more. The President 
is strongly committed to creating jobs here at home. Certainly, free 
and fair trade is important to strengthening our economy even more 
and expanding job growth here at home.''

Joe Lockhart, a Democratic party consultant who was press secretary 
to former President Bill Clinton, predicted that Bush's opponents 
will put a lot of money in advertising to draw attention to Mankiw's 
statement.

''I guarantee you,'' said Lockhart,  'this 'will become a central 
element of the economic debate.''

-(PTI)
-- 
Monica Narula [Raqs Media Collective]
Sarai-CSDS
29 Rajpur Road, Delhi 110 054
www.sarai.net