There's no import regulations on programming, so dumping H1B completely still wouldn't fix the problem.
A lot of small to mid-sized companies are progressively outsourcing more and more development either directly to companies offshore or via U.S. shell corps that basically broker work for offshore development groups. The majority of this is going to India, but other countries are getting a slice as well.
Tech could potentially follow the same path as manufacturing very easily. For the same reason that many products produced by U.S. companies are actually built in the Pacific rim, we could see the majority of development being done in India, Eastern Europe, etc.
My feelings go both ways where imports are concerned. On one hand, I strongly believe in a totally free market. However, I find it tough to argue that this isn't costing jobs in the U.S. and sucking money out of our economy.
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