answersLogoWhite

0

China has the largest human population in the world. It has a huge amount of human capital. This means there is a HUGE labor supply. According to the laws of supply and demand, because the labor supply is so huge companies there can charge super super super low wages. This is because if 1,000 people say no to the low wages there are still thousands and thousands more that may potentially say yes and most likely one of them will. China is one of the cheapest sources of labor which is why many companies from other nations outsource to it.

User Avatar

Wiki User

15y ago

What else can I help you with?