Multiple Choice
Which of the following is not assumed by those who believe in the race to the bottom?
A) Corporate taxes would be at appropriate levels without subsidizing MNEs
B) MNEs are easily induced to relocate by government subsidies
C) FDI has spillover benefits that offset subsidies to MNEs
D) Government subsidies to MNEs will force cutbacks n the social safety net
E) Employment at MNEs involves reduced job security
Correct Answer:
Verified
Correct Answer:
Verified
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