Question

Which of the following best explains why globalization has led to wage cuts
in some jobs in the United States?
O
A. Immigration increases domestic consumption, leading to more
competition for goods and services.
O
B. Free trade increases competition among producers, providing an
incentive to increase productivity and lower prices.
O
C. Outsourcing increases the domestic supply of workers, driving
down the price of labor.
O
D. Protectionist policies increase tariffs, which make goods and
services more expensive.

Answer 1

Answer: Outsourcing increases the domestic supply of workers, driving down the price of labor.

Explanation: Globalization has led to wage cuts in some jobs in the United States as a result of Outsourcing increasing the domestic supply of workers, driving down the price of labor. since there are more than enough supply of supply , wages paid for labour by industries will reduce.