Alright, I'll throw a cat amongst the pigeons.
Outsourcing, jobs going offshore - Its happenings all around the world and Australia is not immune. Australia has relatively high wages and the quality of products being produced by emerging industrials are making their services look increasingly attractive.
Putting aside protectionist notions of closing our eyes and hum loudly, what should Australia be moving towards in this globalised market? Holden's teeters on the brink, saying (another) bailout is need to keep the cars flowing, meanwhile cutting more jobs and transitioning (once again) to a single shift, with decreased production expectations.
In a sense mining has been our bandaid for the time being, pushing more into our economy whilst providing a relatively small number of jobs, but what happens then?
I struggle to think of how Australia can maintain and increase its standard of living in the coming decades under this global market. The only way I can see Australia succeeding is through innovation and R&D, designing products and services which are then produced offshore. This is happening now, but we still will be shedding a vast number of jobs over the next few decades.
Perhaps we will have to endure the painful experience for 30 or so years until the likes of India and China mature to a level where there wages make domestic production and services competitive. China is already transitioning jobs outside its borders due to escalating wages, with it eyeing South East Asia and Africa.
Or maybe I'm thinking about this wrong? Germany too has a high standard of living, whilst being a major industrial. This is arguable mainly from the high levels of innovation within the country.
So what have you Somersoft? I've had my spiel, now lets hear yours.
Where do we go from here?
Outsourcing, jobs going offshore - Its happenings all around the world and Australia is not immune. Australia has relatively high wages and the quality of products being produced by emerging industrials are making their services look increasingly attractive.
Putting aside protectionist notions of closing our eyes and hum loudly, what should Australia be moving towards in this globalised market? Holden's teeters on the brink, saying (another) bailout is need to keep the cars flowing, meanwhile cutting more jobs and transitioning (once again) to a single shift, with decreased production expectations.
In a sense mining has been our bandaid for the time being, pushing more into our economy whilst providing a relatively small number of jobs, but what happens then?
I struggle to think of how Australia can maintain and increase its standard of living in the coming decades under this global market. The only way I can see Australia succeeding is through innovation and R&D, designing products and services which are then produced offshore. This is happening now, but we still will be shedding a vast number of jobs over the next few decades.
Perhaps we will have to endure the painful experience for 30 or so years until the likes of India and China mature to a level where there wages make domestic production and services competitive. China is already transitioning jobs outside its borders due to escalating wages, with it eyeing South East Asia and Africa.
Or maybe I'm thinking about this wrong? Germany too has a high standard of living, whilst being a major industrial. This is arguable mainly from the high levels of innovation within the country.
So what have you Somersoft? I've had my spiel, now lets hear yours.
Where do we go from here?