Wages in developing markets can be volatile and spike dramatically.The United States can be ________ on a wage basis if its average wages decline.
A) less competitive
B) more competitive
C) more risky
D) more volatile

Question

Quizplus · Accepted Answer

In moving overseas, firms often assume some level of wage stability, but wages in developing markets can be volatile and spike dramatically. As Roger Meiners, chairman of the Department of Economics at the University of Texas at Arlington, stated:"the U.S. is more competitive on a wage basis because average wages have come down, especially for entry-level workers, and wages in China have been increasing."

Wages in Developing Markets Can Be Volatile and Spike Dramatically