Question

The factors cited by the textile industry’s decision to locate manufacturing facilities in countries other than the United States include _____.
improved trade policies

increased domestic energy costs

cheaper labor

lower transport costs

Answer 1

Answer:

cheaper labor

Explanation:

Answer 2

Answer:

cheaper labor

Explanation:

Until the recent past, cotton production was labor-intensive. Factories needed to hire many casual laborers to assist them in the production process. The US has always had a minimum wage policy. Because the factories had to adopt the minimum wage policy, the labor expense became unsustainable. Cotton factories had to relocate to other countries such as China, where labor was affordable.