This is part two of a five part series on the global economy

As we head into this new and strange global economy there exists a high level of frustration amongst a vast majority of Americans in regards to the transfer of jobs and assets to foreign lands. Perceived by many as some sort of conspiracy against America, these transfers to far-flung bases of operations are looked at with disdain, and those who supposedly brought about this exodus – the so-called greedy corporate CEO’s and dirty politicians – are utterly despised.

Someone must be held responsible, so why not blame them? After all, they are the ones who put this all into motion. Maybe so, but let he who is without sin cast the first stone.

It’s easy to pass the buck and blame those in charge, but, truthfully, each and every American – you and me included – is to blame for the situation our nation is in, as dire as it may or may not be. Our insatiable demands of what the private and public sectors are to offer us in what is a relentlessly capitalistic society have brought about the need to outsource production and services alike. We want everything…and we want it cheaply. In many cases, especially when dealing with non-durable consumer goods that could be considered manufactured commodities (clothing, knick-knacks, toys, housewares and the like), "cheap" cannot be achieved in America’s borders.

For starters, the influence of the public sector and the associated governmental rule has proven too pervasive and costly for many of the commodity manufacturers to do business within our borders. The accumulated bureaucratic burden in the United States has been determined by economists to be twenty-two percent higher than that of the average of its major trading partners.

We as citizens are perhaps too demanding of what we want our government to give us. We insist upon the provision of spectacular government services and incomparable social benefit programs. This requires high taxation, much of which, thanks to a lack of accountability by voters and elected officials alike, continues to grow at disturbing rates. These taxes are anywhere and everywhere: sales taxes, corporate income taxes, property taxes, and hidden amongst utility and resource costs.

Taxes are only the tip of this iceberg. Also contributing to this bureaucratically-induced high cost of doing business in America are the impressive amounts of regulation and litigation placed upon all businesses. All American citizens have a warranted desire to maintain clean environments, safe workplaces, and a semblance of fairness and equity, but, quite often the regulation of such items tends to go overboard. Many of the foreign lands selected for outsourcing have more of laissez-faire attitude in their economies and therefore have no, fewer or more-sensical regulations, hence considerable operational savings for those choosing to do business there.

The desire for a high standard of living that drives the actions of the government also drives outsourcing due the highly-consumptive nature of our society. As an indication of economic progress, modern wages are across the board at high levels relative to wages of the past based upon time-value-adjusted dollars and increased purchasing power. The latter has been heightened even more due to the incredible amount of debt and credit today’s consumers are willing to carry. In order to manufacture commodities that are affordable and can match the greater demands and varying tastes created by these higher discretionary incomes it is necessary for many firms to utilize low-wage nation states. Failing to do so would create unreasonably high prices that no consumer – no matter his or her spending power – would be willing to spend. In essence, our economy has become so wildly successful that we can’t appropriately satisfy our own needs, or – more realistically – our own avarice, for consumer goods.

It doesn’t end there. Being a life-long active participant of such a capitalist system demands forward planning on behalf of each and every consumer. More so now than ever before, people are genuinely concerned about their nest eggs and put the onus on fund managers, corporate boards, and the stock market as whole to provide substantial short-term and long-term gains. This accountability to compete for every dollar and every cent has forced executives to think outside the box, which ultimately means, thinking outside of America.

The act of outsourcing is bemoaned by a vast portion of our populace. They blame others for the focus on globalism, but, in the end the onus does not fall on the few, it falls on the many. Every American is guilty by participating in a society that screams for too much from both the public and private sectors.

Outsourcing exists because we the people demand it.