So while they will charge the $20 per hour, they will assure you that their work will be completely up to par with the $200 per hour work of experienced developers. Usually there will also be a problem with quality/time estimation. I've seen a few "will this be done in two weeks?" questions result in a "Yes, certainly answer" although no engineer I knew would have said this was possible. At least that was my experience in a few larger projects that had to outsource some of the programming.
I know that agencies in the US/EU tend to market themselves pretty aggressively too, but not QUITE as aggressively :)