2768EconomicsMedium
The market power effect of an international joint venture can lead to welfare losses for the domestic economy unless offset by cost reductions. Which type of cost reduction would not lead to offsetting welfare gains for the overall economy?
Anew work rules promoting workers efficiency
BR&D generating welfare improved technology
Cdevelopment of more productive machinery
Dlower wages extracted from workers
Correct answer
D. lower wages extracted from workers
Explanation
The correct answer is lower wages extracted from workers.