(a) Economically, when is it best for a firm to outsource or contract-out some part of its production? (b) Provide an example of a business task or operation that it would make sense to outsource.
(c) Provide an example of a government task that it would be economically efficient to contract-out. (d) Is there any risk to outsourcing? Explain. (e) For a task that is already outsourced, could it make sense to bring it back in-house at some future time? Explain.