...If this is the case for the US, it surely must have a role to play in either bringing jobs back to NZ or removing them entirely to locations nearer the markets being served.
"Cheap labor in China doesn't help you when you gotta pay so much to bring the goods over," says economist Jeff Rubin.
...
"It's not just about labor costs anymore," says Rubin. "Distance costs money, and when you have to shift iron ore from Brazil to China and then ship it back to Pittsburgh, Pittsburgh is looking pretty good at 40 bucks an hour."
...
Thursday, June 26, 2008
High oil price reversing offshore outsourcing?
It seems high oil prices are making some outsourced manufacturing operations more expensive and causing what might be referred to as "reverse globalisation". ABC News in the US reports:
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