Question 1

Which of the following jobs is least likely to be outsourced?
A)Flipping hamburgers
B)Technical assistance over the phone for your computer
C)Transcription of physicians' records
D)Software design

Accepted Answer

Flipping hamburgers requires on-site labor.

Question 2

All else equal, the jobs that are the least likely to be outsourced are those that:
A)do not involve face-to-face contact.
B)can be done by a computer.
C)require face-to-face communication.
D)can be broken down into series of well-defined steps.

Accepted Answer

Some jobs are less susceptible to outsourcing than others. For example, jobs that require face-to-face communication are difficult to outsource.

Question 3

When a U.S. firm engages in outsourcing, it benefits ________ and harms ________.
A)the firm; the U.S. consumers of the firm's products
B)the U.S. consumers of the firm's products; the firm
C)the U.S. consumers of the firm's products; the firm's U.S. employees
D)the U.S. consumers of the firm's products; the firm's foreign employees

Accepted Answer

Outsourcing benefits U.S. consumers, because they can enjoy lower prices, but harms the firm's domestic workers, because they may lose their jobs.

Quiz 2: Comparative Advantage

Which of the following jobs is least likely to be outsourced?

All else equal, the jobs that are the least likely to be outsourced are those that:

When a U.S. firm engages in outsourcing, it benefits and harms .