Democratic Presidential hopeful John Kerry has lambasted a key economic advisor to President George W Bush for defending outsourcing of IT jobs to countries including India.Gregory Mankiw, Bush’s Council of Economic Advisors’ Chairman and noted Harvard economist, was attacked by the Speaker of the House of Representatives J Dennis Hastert and Senator Kerry for suggesting that outsourcing to India and other countries in which they have a comparative advantage is a ‘‘win-win’’ for both the exporter and importer.‘‘I understand that Mankiw is a brilliant economic theorist but his theory fails a basic test of real economics. We can’T have a healthy economy unless we have more jobs here in america, said Speaker Hastert, the Legislative Leader of the Republicans.Joining the Republican Speaker in attacking outsourcing, Senator Kerry said that if he becomes President, his economic policy would be ‘‘not to export American jobs but to reward companies for creating and keeping jobs in America.’’In response to Hastert’s remarks, Mankiw said in a statement: ‘‘some of my recent comments on outsourcing have been misinterpreted. It is regrettable whenever anyone leaves a job. Some would respond to the recent challenges facing the economy by erecting trade barriers. History teaches that a retreat to economic isolationism would mean lower living standards for American workers and their families.’’‘‘At the same time, we have to acknowledge that any economic change, whether arising from trade or technology, can cause painful dislocations for some workers and their families. The goal of policy should be to help workers prepare for the global economy of the future,’’ Mankiw said.Asked if Bush might fire Mankiw because of the views expressed by the speaker, White House press secretary Scott McClellan called the idea of sacking him ‘‘laughable.’’‘‘Our economic team,’’ said McClellan, ‘‘is doing a great job helping the President work to strengthen our economy even more. The President is strongly committed to creating jobs here at home. Certainly, free and fair trade is important to strengthening our economy even more and expanding job growth here at home.’’Joe Lockhart, a Democratic party consultant who was press secretary to former President Bill Clinton, predicted that Bush’s opponents will put a lot of money in advertising to draw attention to Mankiw’s statement.‘‘I guarantee you,’’ said Lockhart, ‘this ‘will become a central element of the economic debate.’’— (PTI)
