Pro-X Components,Inc.,operates a factory in a small,depressed Rust Belt town in the Upper Midwest.The workforce is high quality because of the strong local work ethic and the good quality public education system.But,it has been difficult for Pro-X Components to fill all its operational job openings locally,and it is not easy to persuade people from outside the area to relocate to this isolated,struggling town.Which of the following situations would most likely IMPROVE Pro-X Components' geographic labor market quickly?
A) an influx of retirees to this town as it grows as a retirement area.
B) the closing of a medium-sized plant in the same industry in a town 10 miles away.
C) the opening of a new junior college in the community.
D) changes in government regulation of H1 visas so that Pro-X can hire highly-skilled foreign workers.

Question

Quizplus · Accepted Answer

The closing of a medium-sized plant in the same industry in a town 10 miles away would likely lead to an influx of experienced workers who are already familiar with the industry and can easily commute to work. This would provide Pro-X Components with a larger pool of local talent to choose from and fill their operational job openings more quickly. Retirees moving to the town would not necessarily have the skills or experience required for Pro-X's job openings. The opening of a new junior college may help improve the local education system and provide a pipeline of potential workers in the future, but it would not solve the immediate problem of filling current job openings. Changes in government regulation of H1 visas may allow Pro-X to hire highly-skilled foreign workers, but that process can be time-consuming and expensive, especially compared to the more immediate solution of hiring locally.