Saturday, August 11, 2007

Outsourcing and Mobile Phone

I had a drinking meeting yesterday with two persons who helped and now help me with my grad study. I was so happy that I had such a good time because in a week I'm leaving for the US. It was a good memory to have with me in Japan.

There we discussed the issues about outsourcing. In the US the topic of outsourcing was a controversial issue a little while ago. According to one of us, in Japan many people are suffering from outsourcing; Outsourcing of services in any field in the business society in Japan will exploit many workers, while many of the Japanese benefit from it. About one third of the workers in Japan are now part-time(including me), not full-time, and most of them are exploited by rich capitalists. It seems to be a modern version of Marxism, but, he says, it is the present situation, in most of the developing countries. And now Japan seems to be becoming extremely developing countries. If so, what is going wrong?

Many economists say that the market economy will do well and that outsourcing is a clear proof of a well-functioning free market economy. But, he says, it might be very easy for them to say such a thing because they can say that free market will go well without deep consideration. Certainly it might be also easy to say that the market economy will go wrong because it tends to divide them between rich and poor, and at the same time, easy to say that the free market will do well because it tends to make them rich on average. I think he wanted to say that we should seriously doubt whether a free market and outsourcing will really bring a better condition for many people. It is a good question and we have not answered it yet though we have discussed it many times before. Now is the time we should doubt the neoclassical optimistic version of free market and the night-watch state, or a small government.

By the way, most of us have a mobile phone. I think we can see it as a result of the working of free market economy. Many of them are always emailing everywhere in the town by mobile phone rather than talking directly without care for the people around them. One of us saw couples there emailing without talking with each other, and he said, "what are they happy with each other about?" And I wondered also. Seeing them emailing without saying a word, I said to him, "many of them have a contact with each other when they want to. And it is the way the issue of outsourcing is". Then he asked me to explain more why I thought so. I mean, they outsource when they want to. And when they don't want to, they don't.

When employers don't need workers, they don't want to outsource and in many cases fire them at present without care for their living. When they don't need to employ, they want to fire and actually do so. It seems to be like the way they use a mobile phone; When they want to have a contact, they do so, while they cut off the contact when they don't want to. In terms of having a short and temporary relationship, they have much in common, I guess. I might be able to call it "the culture of the mobile phone" and it may be one of the products of a free market in our capitalist society.

(My native English teacher has checked this essay.)

8 comments:

FrostFire said...

I think you've made a great analogy! What a "culture of mobile phone"! It's ironic, right? Economic and technological progress is said to bring a better life for people, but I again and again want to ask: is this the case? People now tend not to communicate with each other directly, instead they use mobile phones and internet. People can even fall in love with each other by mobile phones and internet without knowing what the guy looks like! In my opinion, the way people now behave is unacceptable! So is the relation between employers and employees. Should they merely have an utilitarian relationship? Should the workers be treated like mobile phones that can be fired without care for their living?
By the way, I am an undergraduate student in China majoring in chemistry and have a strong interest in economic and social phenomena. I'm curious about your country, however, what direct information about your people I can get is primarily from your TV plays, which reveal some social problems or tell many romantic stories. That's far from enough. I hope I can communicate and make friends with you. Ah, your English is outstanding! Do you have experience living in English-speaking countries?

Taro said...

Mr.Junwen zhou,

Thank you for your important comment! I like it very much. You read my post very carefully.

I hear in your country many of them are using mobile phones. In your country you also have "the culture of mobile phone". As you say, nowadays people including me can't help using internet and mobile phones in modern life. We cannot communicate with each other without electricity. About 30 years ago the Beatles first came to Japan to have a concert. One of then pundits in Japan said about the Beatles like that, "what they play by using electricity is not music!". My critics of mobile phone seems to be like that, doesn't it?

About 300 years ago Adam Smith, the father of modern economics, said about a baker: A baker makes bread without care for their consumers'living but only with care for their own profit. It is a famous statement and you can see it in our teacher's textbook, Mankiw's principles of economics. I think Smith wants to say about how well free market works without care for others' living and he calls it "the invisible hand of God".

Free market is a good system to organize our society, I think, and we have to learn about the working of free market economy. However behind our convenience many people are suffering many problems like outsourcing. Mankiw said that it is a good thing and I think so. But many people, especially many workers in the factories and offices, may not think of it as a good thing, while many managers and executives may do. Because many workers don't feel a pay rise and higher quality of their life. Only do the rich people. In fact Mankiw was criticized harshly in the congress.

By the way, I am a prospective grad student in the US. I'm happy to hear you have a strong interest in economic and social phenomena and you are curious about my country. However, we seem to make much less effort to know about your country, China, though it is one of the important neighbors. I studied Chinese for one year as an undergrad student. But I can't speak Chinese at all. Chinese is very hard to learn, especially its pronounciation. I think you are very smart because you are in 北京大学. I'm happy if you tell me about your country, your major subject and your university.

I'm honored to communicate with you and make friends with you. And thank you for your appreciating my English. As a high school student, I went to New Zealand for three weeks. I have less experience staying in English-speaking countries.

Anonymous said...

Taro,
Just a word to wish you all the best as you prepare to head to the US for graduate study. I remember well a few years back doing the same myself and recall how simultaneously daunting and exciting it can be. No doubt, the first few weeks will be something of a challenge as you settle down, but by Christmas, itll feel like home.
Just one piece of practical advice: bring some warm clothes for the Midwest - they get harsh winters.
Anyway, hopefully you'll keep your readers informed of your progress.
Best wishes and good luck!

FrostFire said...

Dear Taro, (Shall I call you like this?) I'm surprised that you even "studied Chinese for one year" and pay so much attention to my country. Well, as for me, I have watched a lot of Japanese TV plays and cartoons, however, I could only understand a few simplest Japanese expressions such us "Thank you", "Sorry", "Good night". I really think Japanese is a difficult language, thought I believe I will not get lost even in Tokyo, for the names of places are most written in Chinese characters which I can recognize; however, when it comes to hiraganas and katakanas, I will feel quite confused. I tried to learn some Japanese myself when I was a freshman at my university, but I found the pronunciation of Japanese is really complicated. I once wanted to express "cute" ("kawa'yi", right?) to a friend of mine who studied Japanese, but I pronounced something like "ka'wayi", and she told me what I pronounced meant "terrible"! Oh, that was really terrible! And I know from cartoons such as Detective Conan that there are many different means in Japanese pronounced in the same way, and you have many such kind of word games, right?

Well, so much for my curiosity of your language. Let me tell you something about my country, my major subject and my university, as you pointed out. Ah, by the way, you are Prof. Mankiw's student, so you are (will be) in Harvard, right? Great! That's the place I always dream of. I'm pleased you know my university, PKU. Umm, how to describe? It is the first university in China, established in 1898. It is a comprehensive university with scores of faculties. I became a PKU student in 2005, after passing several exams. I'm in College of Chemistry and Molecular Engineering. I don't know how much you know about my major. It has lots of ramified subjects, such as inorganic chemistry, organic chemistry, analytical chemistry, physical chemistry, etc. My interest was once in synthesization. However, it seems to do a lot of harm to researchers' health, for they have to deal with chemical materials everyday. Many of the materials are extremely deleterious! That's one reason I don’t want to take advanced study in this field. Another, and more important, reason is the approach to economics. For me, I would like to communicate to people about what they think and feel. I want to know more about the world, I mean the social world-the world we exactly live in. I want to know more about people’s life, in different countries, in different cultures, in different social ranks, in different beliefs, etc. 2 years studying chemistry-interesting, exciting, but vacuous deeply in heart. Everyday I discuss with my classmates about something like electron transferring, organic reaction, and molecule structures. I will feel agog when discussing, but when I am alone, I will feel lonely, for I am so far away from the society, from people, and from the life I desire. One day, I took the introductory course of economics. I suddenly found out that this is the field I really want to devote into. So I finally applied a double degree of economics, though time is really limited.

Oh, my country! This is another reason I chose economics. My country is a burgeoning developing country. It develops so fast recent years that it has become a focus of the world. It is a country with such a huge population. It has a lot of social problem. It changed a lot and is still prodigiously changing. All of these are attractions to economists to study. As I have told you last time, I am fond of economic and social phenomena. Without doubt, what is happening in my country is appealing for me. On the other hand, you have known that I am interested in your country as well. Much as its culture and art that fascinates me, its evolution after World War II is attractive to me. So far as I know, Japan was far from a developed country after World War II, especially with the ruin made by US atomic bomb. However, it developed dramatically in the later 3 decades. And now nobody will doubt that Japan is one of the most powerful countries in the world. Its high-technological manufacture is of no doubt the strongest in the world. What’s more, the industry style in Japan is quite different from other developed countries. Japan has thousands of small manufactories which own most advanced and unique technology. In some sense, they are monopolistic in the world, for they manufacture products that have no substitutes. Instead of holding a big amount of asset like those big MNC such as Sony, Toshiba, and Panasonic, they run well in the rigorously competitive world! How do they achieve this? Another thing that attracts me is Japanese family industry (I don’t know whether you know what I mean. I mean those mills established by a family and inherited generation by generation). That will be a topic involving Japanese culture and ideology.

Well, written so much today. I am on summer holiday and I return to home from school. By the way, next time, PLEASE DON’T CALL ME IN SUCH A FORMAL WAY. Just call me Junwen. That is OK. And would you please let me know your email address? Because, I don’t know why, in campus, I can visit those websites abroad, that is to say I can visit your blog, however, I cannot submit any comments! So by email, I can discuss with you more conveniently.

Best wished!

Taro said...

Dear MVPY,

Thank you very much for your kind comment on my coming trip and for your keeping an eye on my poor English blog. I'm very happy to talk to you and to take your important and practical advice.

As you say, I think it is the present problem how I can spend the first few weeks in Milwaukee. I hope the coming Christmas will make me feel like home at the Midwest. To do that, I'll buy warm clothes there.

One of my worries on Milwaukee is food. I'm worried whether I can accept the food in Milwaukee. And I'm worried whether I will gain my weight due to greasy food. Anyway I'll try to take good care of myself. And money is also my worry.
For the first year, I have to pay the expense of living and little tuition. If I can do well the core courses in the first year, I'll get a TAship for the second year. I'm not so sure.... But I'll try the challenge to do well in the first course. It will be a good memory for me.

Of course, I'll keep my readers informed of my growth. Again thank you very much, MVPY. If you have some time, please let me know your idea on my actions and thoughts. You are one of my important teachers.

Taro said...

Dear Junwen,

Thank you very much for your precise comment on my reply. Don't worry, Junwen. Writing much is welcome!

I think you've already understood Japan. You say you have watched a lot of Japanese TV plays and cartoons. I think they will show you what the modern Japan and Japanese are like. You know the detective Conan. It is one of the most popular comics. My younger brother like it very much.

I also really think Chinese is a difficult language, thought the names of places in China are most written in Chinese characters. By the way, as you know, hiraganas and katakanas come from Chinese characters. Hiraganas was originally used in the about 1000-year-ago literature and katakanas originally used by priests to read a sutra more easily.

I also found the pronunciation of Chinese is really complicated. If I want to express "cute", I'm not sure I can say correctly, 漂亮. My pronounciation is really terrible.

By the way, I'm not really Prof. Mankiw's student and I'm not and will not be in Harvard. I will be in the University of Wisconsin. It's the place I also always dream of. I know your university, PKU, is the oldest university like Tokyo university in Japan and Harvard in the US. Tokyo and Harvard are also comprehensive universities.

You're in College of Chemistry and Molecular Engineering. I don't know about your major at all. However, the above commentator, MVPY, is a kinf of equation, "quantity equation". M is the quantity of money, V the speed of running money in the economy, P the price and Y the income level. It has lots of commoms in the equation of state which you know very much. I think economics is related to chemistry.
I think you'll be happy to study much more economics.

I'm happy you're interested in my country. You've learned of my country very much. Thank you. As you say, your country is a burgeoning developing country. I think China will need the way of thinking of economics. It, you say, develops very fast recent years. It is a country with such a huge population. It has a lot of social problem like an environment contanimation. It changed a lot and is still prodigiously changing. If you learn more economics, you'll get an important job related to policymaking in China.

OK, thank you. I'll call you Junwen. My email address is tarookamoto7@gmail.com. It is my private address and is made public. Again thank you very much for your kind and well-informed comment and opinion. It's important for me.

Best,

Taro

Anonymous said...

Hello Taro:

To be honest, I dont have a lot to add. I can well imagine you are up to your eyes in packing etc at this point.
As I said, Id certainly bring warm clothes. Regarding money, the first year is always a bit tricky, since its hard to work as a teaching assistant given you're only starting off. Its worse for a foreign student like yourself, since fees are typically considerably higher (I know all about it!). However, after the first year, I think its a lot easier to get some sort of position as a teaching or research assistant. I myself had to finance my first year, but just consider it an investment in "human capital" - the most important investment of all. In ten years time, itll seem like nothing. Also, my experience is you wont need that much money for entertainment or travel etc - since youll be so busy with your studies.

The first week in Milwaukee will probably be awful. Ill have to be frank about that; thats the way it was for me. Human beings doing like change that much, but thankfully we adapt to different environments very quickly. So, rest assured, after about two weeks, things will start improving dramatically.

Re food, right through my grad years, food has been a big problem. Namely, Im not a big fan of exotic foods or american foods like pizza; so I usually ended up eating very simple stuff like sandwiches. Also, I lived in my own apt for most of my grad years, and I just wasnt worth the trouble cooking etc. Hopefully, you will find some nice places to eat or a nice supermarket.

I hope theyve put you in touch with some senior student in your dept - he/she will put you on the right track re these kind of details, so dont hesitate to contact senior students. They can be very, very helpful.

Also, always bear in mind that you can just go home if you dont like it. Thats always an option. But, as I said, after a few weeks things will start getting much better. Anyway, I wish you the very best of luck - and please keep us posted when things start to settle down a bit.

Anonymous said...

kombanwa TARO

I am CHANA thank you very much for i am VIP for you ;-). yes ! thailand climate is humid and hot .Sometime have rainning.Do you have e-mail address and you use MSN? . My email is CSOYSRI@YAHOO.COM. Present i try write thesis but sometime i tire. and i wish your life in USA is enjoy with new location new friend new good opportunity and new ECONOMIST bye