Question

How did the relocation of industries to low wage countries stimulate world trade and capital flow ?

Answer 1

Relocation of industry to low wage countries stimulated world trade and capital flows due to the major reasons such as the wages which become the relatively low in the counties.

It is attractive destination for the major investment by the foreign of the MNCs competing to capture world in the market place. Hope the student can collect best ideas without meeting any trouble of it.

Answer 2

It would be a fair assumption to make that a country with a large amount of natural resources would be more likely to develop fastest and furthest. This could be assumed because natural resources in a country would be likely to stimulate trade at first within that country, and later to outside countries.