Shouldn't personal income adjust to meet the demand of the market?

Shouldn't personal income adjust to meet the demand of the market?

Jordan Goodman (Personal Finance Author) gives expert video advice on: Why is life so expensive?; Why are things so expensive?; How much is the cost of living expected to go up in the coming years? and more...

One of the big problems with people's budgets is that expenses are going up faster than their incomes. You might say, "Why is that?" Well incomes are not going up as much because we are competing with the world on the labor front. In the past, if we just had domestic employees, you had more bargaining power. But now if you are a computer engineer or an architect, you're not only competing with other people in the United States, but you're competing with people who are just as good in India, or China, or Indonesia, or other places, who are just as qualified and will work for a tenth of the price of what you will. So that makes it hard to compete on the wage front, when the same labor is available overseas at much, much lower cost. And that's why you're seeing a lot of American companies moving factories and all kinds of facilities to China, to India, to other places where they can get much, much lower labor costs and still very high quality labor.