Question

What is offshoring and why is it a cause of structural unemployment in the United States?

A. It is when new resources replace old resources which leads to shutting down mines and plants.
O
B. It is when consumers stop buying one product in favor of another which means eliminating factories.
о
C. It is when new inventions and ideas push out older ways of doing things which means closing markets.
O
D. It is when companies relocate facilities to countries where costs are lower which means relocating jobs.

Answer 1

O D. It is when companies relocate facilities to countries where costs are lower which means relocating jobs.

Step-by-step explanation:

Offshoring is when companies make foreign countries their company's base. In other words, we can say offshoring is the practice of placing one's company based in other countries. Like, when US-based companies are based in India, that means offshoring.

This professional practice is an example of structural unemployment in the US because it means relocation of the jobs, thereby resulting in employees moving to the "offshore" base.

Thus, the correct answer is option D.