With the importation (offshoring) of components and exportation of R&D, what happens to total production in the economy?
A) It declines.
B) It becomes more expensive due to higher wages.
C) It increases, and-because it uses the same amounts of labor-production is more efficient.
D) Productivity and efficiency decline.

Question

Quizplus · Accepted Answer

Offshoring component production and exporting R&D can lead to an increase in total production in the economy because it allows for more efficient production due to specialization and can also lead to cost savings. This can result in higher profits and potentially more job opportunities in other areas of the economy.

With the Importation (Offshoring) of Components and Exportation of R&D