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Which of the Following Is True About Outsourcing and Labor

Question 19

Multiple Choice

Which of the following is true about outsourcing and labor migration:


A) Unrestricted out-sourcing and unrestricted labor migration result in the same wage outcomes in tradable goods markets (as long as there are no barriers to trade) .
B) Under outsourcing, pressures for wage equalization arise from shifts in labor demand curves.
C) Under labor migration, pressures for wage equalization arise from shifts in labor supply curves.
D) Both (a) and (c)
E) Both (b) and c
F) Both (a) and (b)
G) All of the above
H) None of the above

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