Offshoring Is the Practice of Moving a Business Process to a Foreign

question 20

True/False

Offshoring is the practice of moving a business process to a foreign country but retaining control of it.

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Definitions:

Induced Consumption

Refers to the portion of consumer spending that increases or decreases in response to changes in income.

Disposable Income

The pot of funds households have at their disposal for saving and spending, post-income tax.

MPC

refers to the Marginal Propensity to Consume, which is the fraction of additional income that a household spends on consumption.

Disposable Income

The cash flow available to households for the purposes of spending and saving after income taxes.