Now I'm every bit as much the bleeding heart liberal as the guy to my left, but I have to say that I believe the outcry against offshoring and outsourcing is purely a reactionary response to the current bad economy. I don't believe that opposition to outsourcing is not based in sound economic principal nor is good for the country in the long run.
This coming from a software developer who makes his livelihood on custom software development. However, as jobs start to get created again (they will) I think the furor will die down a bit because everyone will be too busy working.
In the meanwhile, read this article I found from my economist friend Michael Krimm's favorite magazine. He will be quite proud of me.