Question

What is one way that the low wages paid to workers in developing countries has had a negative effect on developed countries?

Answer 1

Option A is the answer.
This is because firms prefer to pay low wages to workers to maximize profits or revenue.
Workers in developing countries do not belong to trade unions to protect their interests and promote high wage rates.This means workers in such countries are exploited.
Therefore, firms will prefer to hire workers in developing countries because of cheap wage rates.