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July 04, 2005
The World is Flat - Thomas Friedman

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Thomas Friedman is one of the few pundits out there these days that doesn't simply approach his subjects from the right or the left. Though a NY Times Op Ed writer and considered generally liberal in most cases he actually supported the Iraq war in the beginning and as he explains in the book, doesn't think outsourcing is necessarily a bad thing.

The World is Flat
is basically a sequel to a book Friedman wrote pre-9/11, The Lexus and the Olive Tree. In that book he explored the then burgeoning globalization phenomenon and it's effects on different parts of the world. 9/11 distracted him a bit from this subject but now he returns to it, exploring the state of globalization in a post-9/11 world. By saying that the world is becoming flat, Friedman believes that the playing field is being levelled and the U.S. is now in direct competition with places like Bangalore, Hong Kong, and Bombay. Though many jobs are being taken away from Americans and heading overseas and the US is losing it's standing as the only economic superpower, is this a bad thing for the world? Is it even a bad thing for America in the long run? How is it actually making the world more stable and us safer? What can Americans and other countries do to keep up with the changing economy?

Friedman explains that there are two important dates that have shaped the world during this globalization age. One of course is 9/11. The other is, ironically 11/9 - the date the Berlin Wall fell. 11/9 opened up the world, and 9/11 closed it back up a little.

Among the interesting aspects of the flat world theme that Friedman explores are: the astounding number and sheer diversity of jobs that are now done in far-off places like Bangalore for American companies; how the Y2K scare was the best thing that ever happened to the Indian economy; how Wal-Mart has revolutionized retail distribution while damaging worker rights; how Netscape, Apache and the open source movement changed every aspect of the world as we know it.

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Comments

This book is a difficult read for me thus far. I am about a fifth of the way through right now. The problem is, Friedman is quite tedious with his rationale and explanations. However, spending over twenty pages explaining the wonders of a indian telemarketing company and how this is flattening the world is ridiculous on so many levels.

It is propaganda for the corporate world in America rationalizing outsourcing. It has already been referenced by hundreds of businessmen and embraced by corporate America who are happy to have someone on their side. Michael Moore's documentary "Roger & Me" shows a more realistic view of what outsourcing does to jobs in America.

I could go on and on, but I will end with this premise for why this book fails as well as the basis for a similar take given by Bill Gates:

Gates rails against American schools and how they are failing. He outsources a factory to India and PAYS for the education of the workers in that factory. Friedman argues that we are flattening the world and raising the standard of living of India. However, a closer look reveals something different....

A Californian graduating college with a degree in computer engineering can command a salary of $70,000. An Indian with the SAME education will garner an $11,000 salary from Bill Gates. Better than many Indians, but NOT rising India from the ashes of poverty. Bill Gates argues with Friedman by his side, that Americans aren't wokring as hard and aren't as smart as foriengers. I believe that Gates loves saving $60,000. I also know that the fellow in California is not getting a computer engineering degree because his $70,000 job has been outsourced to India. I also know that the Indian making $11,000 will not ever realize the "American Dream" because that worker will not be able to come to America and work. Once he does, he will find himself unemployed. It even says this in the book.