
H-1B bill pulled from House committee vote amid complaints - ones_and_zeros
http://www.computerworld.com/article/3120307/h1b/h-1b-bill-pulled-from-house-committee-vote-amid-complaints.html
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wrong_variable
America has two economy.

Group 1: One economy consists of the some of the largest most richest
multinational entities the world has ever seen.

Group 2: The other consists of small business like every other country.

Every company in Group 1 was once in Group 2, they move from Group 2 to Group
1 once they have achieved some benefit from "regulatory capture" to entrench
themselves.

Economic prosperity and innovation comes from Group 2 increasing in size.
Group 2 normally plays by the rules of market ( they are part of the
economical food chain )

Group 1 is OUT of the food chain.

Why did I bring this up ?

Because this is critical in understanding the role of immigrants and capital.

If a set price bar is created for H-1B then group 2 business will be unable to
compete on price, most group 2 business operate using thin margins. Size of
Group 2 will increase in foreign countries, as Group 2 business are easier to
start outside.

Group 1 on the other hand are responsible for the abuse of the H-1B in the
first place ! but setting a lower bar will completely not effect them. In fact
now their entrenched position is more entrenched ! since small business will
be unable to hire foreign workers that they need. Group 1 market share
increases allowing them to better control price.

All the extra money that group 1 receives, they are not stupid to start
business in low growth high cost developed economy. Due to their global reach,
all that money gets invested in building offices outside - their main enemy is
govt. - it is in their best interest to figure out how to play one govt
against another.

Group 2 on the other hand, any cost saving that they get through cheaper
labour, normally gets reinvested in the local economy. They are normally not
the ones who are interested or have the managerial skills to co-ordinate
business at an international level.

Anything that congress does, that does not take into account this dynamic
between group 1 and 2 is doomed to fail.

~~~
IndianAstronaut
I used to work at a group 2 company that was saved from failing because of H1B
hires. We brought in one critical developer and another critical DBA who then
stabilized our platform and enabled sales to move ahead.

~~~
ones_and_zeros
What skills did these critical hires have that couldn't be found in the United
States?

~~~
igt0
Probably local hire would be much better, however good programmers don't want
to work in the Group 2. The want to work in a big company or in a cool
startup.

