32
practice examMultiple Choice

Practice Exam

Question 32 • Personal Finance and Economics

A factory owner might decide to manufacture shirts in Pakistan instead of the United States because

Answer
A
workers in Pakistan are more skilled.
B
it is less expensive to make shirts there.
C
workers in Pakistan work fewer hours.
D
it is worth paying more for foreign labor.

Explanation

A factory owner may choose to manufacture shirts in Pakistan if producing them there costs less than producing them in the United States. Lower production costs can make the shirts more profitable. So the correct choice is “it is less expensive to make shirts there.”

AI-written and checked against the verified answer.

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