You would think so, but it's more complicated. We're not getting the top performers. Those are being snapped up by governments and companies that directly interface with the educational institutions. Also, take Argentina, for example. Back in early 2000's (when i was working with george, small world), the company we worked for opened up outsourcing in Argentina and sent us down there to train them. Driving through Buenos Aires we saw Sun and Oracle also opening up outsourcing locations. All 3 companies wanted 10k people. Though the high performers, those with education and experience, were on par with US staff, that totalled less than 2500 people in Argentina at the time (numbers from Argentinan government should stlil be available for the curious). After a couple years, we had taken some of the educated but not experienced and given them experience, and this expanded the pool, but not the 30k wanted by just the 3 companies. Also, those who could stopped applying for the 1/4 pay jobs (1/6 at the time) and applied for the better pay jobs, as you'd expect. Because if you're worth it, companies will pay for it.
There's this rubber-band effect when a labor market is opened where it balances itself against cost very quickly, and then you end up with corruption in the system. For example, many of the Indian outsource companies I worked with would send the educated, not experienced, people over here at low pay to gain experience, then once they had the experience they went back home and took a leadership or teaching role and we lost out on the gains of providing the training. We didn't look down on this. Who wouldn't want to be able to live a great life with their family where they grew up at the cost of 4-5 years living abroad? But we had to factor it in. Some did stay, but that wasn't the norm. And often we got to work with them remotely, which was great.
By corruption in the system, I mean that the goals of outsourcing for the company were being gamed in ways we weren't anticipating (not political corruption, but more like fragmenting the hard drive. it just gets less efficient over time). Although there was also corruption in the political way once the people with that ability saw it as an opportunity. This is not unique, but it's the norm with most outsourcing. As you would expect, but at the time it was quite the surprise. These days, doing research on the country you're considering outsourcing to is a must.
At this point, we've learned a lot about the globalization of labor and what expectations to have. The HR people doing this are rarely dumb. They know that if they're offering 44k/year, they're going to get educated, but not experienced. Or educated and experienced, but unable to perform for some reason. Or desperate. And I think this last one is part of what makes our consciences twitch.
Anyway, I haven't given this enough thought to be coherent, but wanted to get a couple of my thoughts out there.