ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846
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WORLD ECONOMY- Contracting Poverty

WORLD ECONOMY Contracting Poverty John Cavanagh Joy Hackel OVER the past fifteen years, corporations have diversified their strategies, for multinational expansion. Through what has become known as international sub-contracting, manufacturers based in developed countries contract out the mast labour intensive phases of production to lower wage developing countries. There it is primarily the Third World women's lot to perform the sewing, piecing together and other marginal forms of1 tedious assembly work. Once assembled, the goods tire re-imported under generous tariff exemptions by the multinational to be marketed in the developed country. The developing country subcontractor is either a multinational subsidary, a non-affiliated firm, an agent who further subcontracts the assembly work to sweatshops. or women who work in their homes.

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