Which of the Following,if True,would Support Reshoring as a Strategy

question 19

Multiple Choice

Which of the following,if true,would support reshoring as a strategy for a U.S.firm?

• A)Rising labor costs overseas
• B)Increasing wage costs in the United States
• C)Increasing public support for offshoring in the United States
• D)Improving health and safety requirements overseas
• E)Decreasing cost of living overseas

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Definitions:

Equilibrium Price

The market price at which the quantity of goods supplied is equal to the quantity of goods demanded, achieving a state of market balance.

Consumer Surplus

The division between the total financial commitment consumers are willing to make for a product or service and the amount they actually contribute.

Price Floor

A minimum legal price set by the government at which a good or service can be sold, aiming to prevent prices from falling too low.

Consumer Surplus

The contrast between the intended financial outlay of consumers on a good or service and the payment they ultimately make.