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[That Guy]

eventually if you outsource too many jobs, the demand for workers outpaces supply in the target country, so wages and land values start to raise and you're either saving less than you thought you would, or you're moving to an even cheaper country (like romania).

as for our economy, no, it doesn't hurt it horribly except for all the unemployed outsourcing creates... for everyone else there are cheaper prices. the paradigm shift wouldn't occur until unemployment becomes much much worse. most factory work already disappeared and now a substantial amount of tech work is going (but a smaller % of the tech population than that of the steel workers etc). It does creat other jobs (management etc), though not as many as it replaces.

If people weren't so concerned with saving money (businesses and consumers both) than outourcing wouldn't exist. however, as i'm sure you can count the number of people you know that burn money on one hand, globalization is inevitable.