It Is Not Necessarily the Case That Canadian Workers Are

question 5

Multiple Choice

It is not necessarily the case that Canadian workers are doomed to hold "bad" jobs as all of the "good" jobs are outsourced to countries with cheap labour. Which of the following related statements is false?

• A) Canadian employers always have an incentive to seek out the lowest-cost labour and send the work there.
• B) Outsourcing typically lowers the costs of production, which can lower the prices that Canadian consumers pay for certain goods, thereby permitting an increase in spending on other goods.
• C) It is not clear that Canadian and foreign labour are substitutes in production.
• D) One has to consider the unit labour costs in the two countries.
• E) While Canadian labour is often expensive compared to foreign labour, it is often much more productive.

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Definitions:

Audit Trail

A record that traces the detailed history of financial transactions to verify their accuracy and integrity.

Identity Theft

The fraudulent acquisition and use of someone's personal information, typically for financial gain, without their permission.

Accrued Expense

Expenses that are recognized on the books before they have been paid, reflecting costs incurred during a particular period.

Adjusting Entry

An accounting record made to allocate income and expenditures to the appropriate accounting periods.