During the Past 20 Years, There Has Been Substantial

question 127

Multiple Choice

During the past 20 years, there has been substantial
FDI in China.What are the expected short­run effects
Of this FDI upon the rental rate on capital and wages
In China?

• A)The rental rate should increase and wages should decrease.
• B)The rental rate and wages should both increase.
• C)The rental rate and wages should both decrease.
• D)The rental rate should decrease and wages should increase.

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Definitions:

Utilitarianism

An ethical theory that posits the greatest happiness of the greatest number should be the guiding principle of conduct.

Compel Citizens

Enforcing or obliging citizens to follow certain laws, regulations, or directives through legal or authoritative means.

Medical Tests

Procedures and examinations conducted to determine the presence of disease or monitor health conditions.

Rule Utilitarian

A form of utilitarianism that evaluates the moral correctness of an action based on rules that, if universally followed, would lead to the greatest good for the greatest number.