India and the Philippines consistently attract sizable amounts of foreign investment for services performed in the domestic market and sold internationally. The main reason for this foreign interest is that:
A) they have outstanding infrastructure, with worldclass transportation and power supply facilities.
B) they have large numbers of highly educated workers who are paid much less than American workers.
C) the dollar's value is lower in the Asian market than in the American market.
D) the average income of consumers in these countries is among the highest in the world.

Question

India and the Philippines consistently attract sizable amounts of foreign investment for services performed in the domestic market and sold internationally. The main reason for this foreign interest is that:
A) they have outstanding infrastructure, with world­class transportation and power supply facilities.
B) they have large numbers of highly educated workers who are paid much less than American workers.
C) the dollar's value is lower in the Asian market than in the American market.
D) the average income of consumers in these countries is among the highest in the world.

Quizplus · Accepted Answer

The main reason for foreign investment in India and the Philippines is their large pool of highly educated workers who are being paid much less than American workers. This makes it attractive for companies to outsource their services to these countries, resulting in significant cost savings. While infrastructure and the value of the dollar may play a role, they are not the main reasons for the foreign interest in these countries. Additionally, the average income of consumers in India and the Philippines is not among the highest in the world.

India and the Philippines Consistently Attract Sizable Amounts of Foreign