From the perspective of new international division of labor theory,___________ .
A) commodity production takes place in whatever part of the world can provide the most profitable combination of labor and capital
B) high- and low-income countries are both dependent on transnational corporations for cheap goods
C) producer-driven commodity chains are the only relevant type of commodity chain
D) transnational corporations pay high taxes in order to find locations that will provide cheap labor

Question

Quizplus · Accepted Answer

According to the new international division of labor theory, commodity production takes place in whatever part of the world can provide the most profitable combination of labor and capital. This means that countries and regions are no longer locked into specific roles in the global economy, and instead, they specialize in industries and commodities depending on their comparative advantage. This theory emphasizes the importance of globalization and the emergence of multinational corporations in shaping the global economy.

From the Perspective of New International Division of Labor Theory,___________