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It Is a Known Fact That the Same Multinational Company

Question 21

Multiple Choice

It is a known fact that the same multinational company may pay lower wages to its workers in a developing country than to those in an industrialized country.Why is this not considered an evidence of worker exploitation?


A) Rich people deserve higher pay.
B) Once we take into account the difference in the cost of living in both kinds of countries, the wages are actually about the same.
C) Local wages in developing countries are generally lower than in industrialized countries, with or without globalization.
D) Workers in developing countries have higher benefits, making the overall wages about the same in both kinds of countries.
E) Most workers in developing countries are comparatively younger, and they get lower wages because of their lack of experience.

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