The problem is that skill and salary don't correlate as much as it should. As bad as we are at taxing negative externalities, we're terrible at rewarding positive externalities.
As it is we are bringing in folks on H1Bs who appear to be borderline first level customer support (this was something I ran into browsing the online DB a while back).
At least at 120k you know that the company involved really does value this employee to some extent. They're not likely to spend 120k on someone easily hired locally for far less.