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Question
multiple choice question
critics of globalization point out that free trade
provides developed nations with a cost advantage over developing nations.
minimizes pollution in the worlds poorer countries.
allows firms to abuse the weak labor and environmental laws in developing countries.
reduces job opportunities in developing nations where wages are much lower.
Critics of globalization argue that free trade enables companies to relocate production to developing nations with less strict labor (e.g., lower minimum wages, poor worker protections) and environmental regulations (e.g., lax pollution controls) to cut costs, exploiting these weaker standards. The other options are incorrect: developed nations generally have higher production costs, so they do not get a cost advantage; free trade often increases pollution in poor countries; and it typically creates jobs in low-wage developing nations as firms move production there.
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C. allows firms to abuse the weak labor and environmental laws in developing countries.