Which of the Following Statements Is True

question 10

Multiple Choice

Which of the following statements is true?

• A)When firms outsource jobs to other locations, costs of production fall and the supply of the product increases.The price of the product falls and the quantity demanded increases.Because of this both firms and consumers benefit from the impact of outsourcing on home country product markets.
• B)When firms outsource jobs to other locations, costs of production increases and the supply of the product decreases.The price of the product increases and the quantity demanded decreases.Because of this, both firms and consumers lose from the impact of outsourcing on home country product markets.
• C)When firms outsource jobs to other locations, costs of production increases and the demand of the product decreases.The price of the product decreases and the quantity demanded decreases.Because of this, both firms and consumers lose from the impact of outsourcing on home country product markets.
• D)When firms outsource jobs to other locations, costs of production fall and the supply of the product decreases.The price of the product increases and the quantity demanded decreases.Because of this, both firms and consumers lose from the impact of outsourcing on home country product markets.

---

Definitions:

Inter-Unit Conflict

Disagreements or disputes that arise between different units or departments within an organization, potentially affecting its functioning and performance.

Conflict Sources

The origins or causes of disagreements or disputes, which can range from personal differences to conflicting objectives or resources.

Expert Power

The influence possessed by an individual due to their expertise, skills, or knowledge in a particular area.

Knowledge-Based Economy

An economy where growth is dependent primarily on the quantity, quality, and accessibility of information available, rather than the means of production.