Labor and capital mobility are intertwined because ________.
A)illegal workers sometimes pay large sums to people who smuggle them into another country
B)people cannot emigrate to another country unless they bring capital with them
C)companies receive tax benefits for hiring immigrants
D)immigrants bring an investment in human capital with them

Question

Quizplus · Accepted Answer

Immigrants bring with them an investment in human capital, which contributes to the host country's capital stock. This in turn can lead to economic growth and increased productivity. Additionally, labor mobility often occurs in tandem with capital mobility, as companies may move their operations to take advantage of cheaper labor costs.

Labor and Capital Mobility Are Intertwined Because ________