What Is "The Race to the Bottom" Discussed in the Text

question 86

Essay

What is "the race to the bottom" discussed in the text? Give an example that shows it is a real phenomenon, and another example that refutes MNEs' contribution to the problem.​

---

Definitions:

Myopia

A condition or behavior characterized by a lack of foresight or planning for the future, often focusing only on short-term benefits.

Behavioral Economics

The study within economics that delves into how individuals' and institutions' economic decisions are swayed by psychological, emotional, cognitive, cultural, and social factors.

Ultimatum Game

A game in experimental economics where two players decide on how to divide a sum of money; if the receiver does not accept the offer, both get nothing.

Private Interests

Individual or group interests that are not public in nature, often seeking personal gain or advantage.