The relocation of industries from core to peripheral countries usually occurs because __________.
a. labor intensive industries can control the price of labor by exploiting the cheap labor available in peripheral countries
b. wages paid to workers in the peripheral countries allow them to buy the products which they produce, thus creating new markets
c. they cannot find enough workers in the core countries and are forced to look to the peripheral countries to provide labor to meet the demand for their products
d. shipping costs have been reduced to a minimum in the last twenty years
Question 2
It is imperative to keep the cost of production as low as possible in order to maximize profits because __________.
a. investors must receive a high return as an incentive to not take their money elsewhere
b. enterprises must assure enough profit to reward laborers
c. it allows them to create new markets in peripheral countries by paying workers higher wages which allow them to purchase the products they produce
4. they can be used for necessary environmental cleanup
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