Can this scenario be beneficial to the Philippines? Explain your reason. Scenario - The Philippines has low wages and low level of labor rights --> Multinational Corporations locate to the country so they will spend less on wages thereby increasing their profits --> Exports of the home country increase due to the presence of the Multinational Corporations --> People have jobs, albeit having low wages.
Can this scenario be beneficial to the Philippines? Explain your reason. Scenario - The Philippines has low wages and low level of labor rights --> Multinational Corporations locate to the country so they will spend less on wages thereby increasing their profits --> Exports of the home country increase due to the presence of the Multinational Corporations --> People have jobs, albeit having low wages.
Chapter1: Making Economics Decisions
Section: Chapter Questions
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Can this scenario be beneficial to the Philippines? Explain your reason.
Scenario - The Philippines has low wages and low level of labor rights --> Multinational Corporations locate to the country so they will spend less on wages thereby increasing their profits --> Exports of the home country increase due to the presence of the Multinational Corporations --> People have jobs, albeit having low wages.
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