Which groups in a high-skilled-labor-abundant country will gain from offshoring?
A) high-skilled and low-skilled labor
B) high-skilled labor and consumers
C) low-skilled labor and consumers
D) high-skilled labor, low-skilled labor, and consumers

Question

Quizplus · Accepted Answer

Offshoring usually benefits high-skilled labor by creating more managerial or technical jobs in the home economy, but it can also lead to increased competition and job losses. In the case of a high-skilled-labor-abundant country, the main winners are likely to be consumers who will benefit from lower prices due to the lower labor costs in the offshore location.

Which Groups in a High-Skilled-Labor-Abundant Country Will Gain from Offshoring