Growing income inequality between the skilled and unskilled workers in

QUESTION

Growing income inequality between the skilled and unskilled workers in advanced nations, such as the United States, is a result of the:

A. wages for skilled workers being bid up by the labor market and the wages for unskilled workers being discounted.

B. decrease in the outsourcing of low-wage manufacturing jobs offshore and a corresponding increase in demand for unskilled workers.

C. shift within advanced economies toward jobs where the only qualification is the willingness to turn up for work every day.

D. increasing wage gap between developing and developed nations.

E. shortage of unskilled workers and an excess supply of highly skilled workers.

ANSWER

A
Growing income inequality is a result of the wages for skilled workers being bid up by the labor market and the wages for unskilled workers being discounted.