Question

Why do U.S. companies outsource jobs?

A. To improve labor standards
O B. To create jobs in the United States
O C. To increase employee wages
O D. To reduce labor costs

Answer 1

Job outsourcing helps U.S. companies be more competitive in the global marketplace. It allows them to sell to foreign markets with overseas branches. They keep labor costs low by hiring in emerging markets with lower standards of living. That lowers prices on the goods they ship back to the United States. Meaning the answer is D