1. What are the benefits of outsourcing production overseas?
2. What does the US gain and lose when American companies move their production facilities to China (consider effects on demand, supply, prices, jobs, the economy overall, and politics)?
3. Is it better when American production is outsourced to cheap-labor countries, such as China, or to high-wage countries, such as Germany? Why?
4. While most people support free trade, many believe that it sometimes makes sense to restrict trade (e.g., ban imports). When do such restrictions make economic sense?
5. Provide examples of interesting or absurd facts about job outsourcing (list 3)
Questions: Ch. 5b International Trade II: Outsourcing (see the slides for more details on economic effects of outsourcing)
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