If Labor-Intensive Textile Products Could Be Produced More Cheaply in Low-Wage

question 44

Multiple Choice

If labor-intensive textile products could be produced more cheaply in low-wage countries than in the United States, the United States would gain if it

• A) levied a tariff on the goods produced by the cheap foreign labor.
• B) subsidized the domestic textile industry so it could compete in international markets.
• C) used its resources to produce other items while importing textiles from foreigners.
• D) levied a tax on the domestic textile products to penalize the industry for inefficiency.

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Definitions:

Abraham Maslow

An American psychologist best known for creating Maslow's hierarchy of needs, a theory of psychological health predicated on fulfilling innate human needs in priority.

Independence

The state of being self-sufficient and free from outside control, managing one's own affairs without aid or influence.

Creativity

Refers to the ability to generate new and valuable ideas or solutions.

Uncertainty

A state of being unsure or having doubts about something, often due to a lack of information or knowledge.