What impact is the shift of production to China having on unemployment in India and the West
Understand the correlation between production outsourcing and unemployment in India and the West.
- Outsourcing production to China may lead to job losses in both India and the West due to competition from cheaper Chinese products.
- In India, industries that lose contracts to Chinese manufacturers may have to downsize or shut down, leading to increased unemployment.
- Meanwhile, in the West, outsourcing to China could result in job losses as companies relocate their production facilities to take advantage of lower labor costs.
- However, it's worth noting that outsourcing can also create new job opportunities in both regions, such as in service industries supporting global supply chains.
- Overall, the impact of production shift to China on unemployment depends on various factors like government policies, workforce skills, and industry diversification.
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8 months ago