An article (I think I found it on Instapundit but don't remember now) that make a TON more sense than most of the crap, hype-mongering outsourcing articles in the mass media:

...American companies invest less than $2 billion a year in China, and far less in India. That compares to the nearly $200 billion invested each year in our own domestic manufacturing capacity, and $100 billion a year invested by American companies in the rest of the world (and most of that in other rich countries). At the end of 2001, American companies owned more than 10 times as much direct investment in the tiny, high-wage Netherlands ($132 billion) than they did in China ($10.5 billion) and India ($1.7 billion) combined. Obviously, wages are not the only, or even the main, driver of foreign investment.

Anecdotes are a dime a dozen but aggregate numbers paint a completely different story.   If manpower was being outsourced, one would expect capital flows to roughly follow the same trend (afterall, those outsourced workers need an office to sit in...).    The aggregate data says that most of our trade and capital flows are with other high-wage nations, not the race-to-the-bottom pattern that anti-globos like to paint.