Production of goods and services has become globalized to a large extent as a result of
A)natural resources being depleted in one country after another.
B)skilled labor being highly mobile.
C)multinational corporations' efforts to source inputs and locate production anywhere where costs are lower and profits higher.
D)common tastes worldwide for the same goods and services.

Question

Quizplus · Accepted Answer

Multinational corporations have been the main drivers of globalization of production, seeking out lower costs and higher profits by sourcing inputs and locating production in different countries. This has resulted in a worldwide system of production where goods and services are produced and traded internationally. Natural resources being depleted or common tastes for goods and services are not the main reasons for globalization of production, although they may have played a role in some cases. Skilled labor being highly mobile is also a factor, but it is not sufficient to explain the extent of globalization of production.

Production of Goods and Services Has Become Globalized to a Large