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If jobs are being offshored, why are housing prices out of control?
Dan Gillmor, of the San Jose Mercury News, is asking "so why are home prices still rising here (here being in Silicon Valley)?"
I believe jobs are being created. My brother-in-law, who was laid off for almost two years just got a job. I have seen a whole new cadre of workers (friends have gotten hired at Yahoo, eBay, Google, and Microsoft's office there). The traffic is getting worse, which tells me jobs are back. And, at the Demo conference recently, several VCs tell me that the valley's groove is back and deals are now flowing.
So, what about offshoring? Well, this is at least the fourth time I've seen Silicon Valley get rid of jobs to make room for new, better ones.
The reason the politicians don't know what to make of it is that they don't have the data yet. My brother-in-law was out of work so long that he was no longer being counted in unemployment statistics. And, they see jobs being sent overseas, but they can't go on TV and say "this is a good thing." That'd be politically stupid, even if it is.
Now, make no mistakes. There are lots of people still out of work. My wife, for instance, is still struggling to get a job, despite lots of interviews. (Every job opening has hundreds of competitors, so it's hard to prove you're the best out of 200 -- she's made it to the final two or three several times).
And I know lots of other people out of work too. It's a messy economy. No one will deny that. But the housing prices show that there are still lots of jobs out there and more coming. [Scobleizer: Microsoft Geek Blogger]
3:45:28 PM
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