One frequently voiced concern about globalization is that it destroys manufacturing jobs in wealthy advanced economies such as Canada.The basic thrust of the critics' argument is:
A) developing nations will recruit employees from the more advanced economies, thereby depleting their labour pools
B) globalization increases the pace of the shift from a world economy based on manufactured goods to a world economy based on services
C) falling trade barriers allows firms to move their manufacturing activities offshore to countries where wage rates are much lower
D) the governments of developing countries will heavily subsidize their primary industries, making competing products produced in advanced economies less attractive
E) Canadian workers are overpaid and the true value of a manufacturing job is much lower

Question

Quizplus · Accepted Answer

The argument of the critics is that falling trade barriers due to globalization allow firms to move their manufacturing activities offshore to countries with lower wage rates, leading to the destruction of manufacturing jobs in advanced economies like Canada. This is supported by empirical evidence that shows a decline in manufacturing jobs in countries that have experienced a surge in imports from low-wage countries.

One Frequently Voiced Concern About Globalization Is That It Destroys