That's because people who never developed a line of code in their life make the staffing decisions. Offshore resources believe they are favored over their American counterparts because they are more skilled and talented.
The truth is, it has everything to do with the bulls*** blended hourly rate charged for projects. An onshore resource is charged at $115 per hour (even though no full time developer or QA makes this).
An offshore resource is charged at around $35. So, if you are a Senior Manager and all resources are the same to you quality wise, they will simply choose the lower rate. By the way, they are clearly not the same.
They do not know the language, are often new and only code exactly what is on paper (never filling in between the lines).
Couldn't have said it better myself. Great post @XAWssq4-snbh