"The relocation of industry to low-wage countries stimulated world trade and capital flows." Justify the statement. ORWhy did MNCs begin to shift their production centres to Asian countries ? What were its effects ?

"The relocation of industry to low-wage countries stimulated world tra

1.	"The relocation of industry to low-wage countries stimulated world trade and capital flows." Justify the statement. ORWhy did MNCs begin to shift their production centres to Asian countries ? What were its effects ?
Answer» (i) MNCs shifted their production units to Asian countries because of cheap labor and low wages. (ii) Availability of raw materials and a large market. (iii) Effects: lt stimulated world trade and flow of capital. Countries like India, China, and Brazil underwent rapid economic transformation.It generated employment opportunities and introduced competition in the domestic markets.