Question

to follow international labor standards.
to reduce global trade agreements.

1. which of the following is a benefit of globalization and outsourcing?

it creates jobs in developing countries
it guarantees high wages for all workers
it eliminates poverty in outsourced locations
it stops trade between nations

1. when a u.s. company moves a factory to mexico, where does the factory’s production count?

toward the united states’ gdp
toward canada’s gdp
toward mexico’s gdp
it does not count toward any country’s gdp

Explanation:

1. For question 2: Globalization and outsourcing often lead to companies setting up operations in developing countries, which creates local job opportunities. The other options are incorrect: it does not guarantee high wages for all workers, cannot eliminate poverty entirely, and it increases rather than stops trade between nations.
2. For question 3: GDP (Gross Domestic Product) counts production that occurs within a country's geographic borders. Even if the company is from the U.S., the factory's production takes place in Mexico, so it counts toward Mexico's GDP.

Answer:

1. It creates jobs in developing countries
2. Toward Mexico's GDP