Offshoring of Goods and Services - Work It Out 3 c. With trade costs of 30%, and then 20%, where is the value chain slic
Posted: Wed Jul 06, 2022 6:17 pm
Offshoring of Goods and Services - Work It Out 3 c. With trade costs of 30%, and then 20%, where is the value chain sliced? When trade costs are 30%, some activities will be cheaper to import from Mexico than to do them in the United States. These include: office services R&D When trade costs are 20%, some activities will be cheaper to import from Mexico than to do them in the United States. These include: R&D assembly component production assembly office services component production