The Figures Given Below Show the Demand (D)and Supply (S)

question 58

Multiple Choice

The figures given below show the demand (D) and supply (S) curves of labor in two different markets.Figure 16.3

-Which of the following is a major impact of offshoring?

• A)Elimination of domestic jobs
• B)Elimination of jobs in foreign countries
• C)Creation of jobs in the domestic country
• D)An increase in the cost of production of domestic firms
• E)A reduction in the cost of production of foreign firms

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Definitions:

Ceiling Amount

A maximum limit placed on the value, income, or other financial metric that can be used for calculations, such as determining eligibility for tax deductions or credits.

Multi-Part W-3

A comprehensive summary form submitted by employers to the IRS, detailing total earnings, tax withholdings, and other payroll information for employees.

Social Security Portion

The part of income that goes towards Social Security contributions, typically seen on payroll statements.

Annual Wage Base

The maximum amount of earnings on which employees must pay Social Security taxes in a given year.