Several factors underlie the decline in manufacturing in the developed world.These include all of the following EXCEPT

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All of the other factors listed contribute to the decline in manufacturing in the developed world. The cost of wages in developing countries is often much lower than in developed countries, making it cheaper to manufacture goods there. High pension costs for workers in developed countries also increase the cost of labor. Advances in technology have made manufacturing more capital-intensive, meaning that fewer workers are needed and the machinery used in manufacturing is more expensive. Additionally, shortages of human capital and high transportation costs can make it less efficient to manufacture goods in developed countries. Industrial firms reinvesting their net revenues on research and development, however, would not contribute to the decline in manufacturing in developed countries.

Several Factors Underlie the Decline in Manufacturing in the Developed