When a US Company Shifts Its Call-Center Operations Overseas to Reduce Costs

question 75

Multiple Choice

When a U.S. company shifts its call-center operations overseas to reduce costs, it is applying the economic concept of

• A) thinking at the margin.
• B) comparative advantage.
• C) diminishing returns.
• D) using assumptions to simplify.

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Definitions:

Declaration of War

A formal announcement by one country that it is in a state of war with another.

President Wilson

Refers to Woodrow Wilson, the 28th President of the United States (1913-1921), known for leading the country through World War I and advocating for the League of Nations.

Congress

The United States' legislative authority, which is divided into the Senate and the House of Representatives.

Sedition Act

Historical laws enacted by governments to prevent dissent against authority, typically covering actions such as speaking, writing, or organizing against the government.