Q.

A country with high unemployment could best increase its employment by:

A. encouraging foreign firms to establish subsidiaries that produce the same products local firms produce.
B. encouraging foreign firms to establish licensing arrangements for products local firms produce.
C. encouraging foreign firms to establish subsidiaries that produce products local firms do not produce.
D. none of the above would reduce employment.
Answer» C. encouraging foreign firms to establish subsidiaries that produce products local firms do not produce.
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