Chapter 30: Problem 12
Economic growth and development in LDCs are low because many of them lack a. capital investment. b. technological progress. c. a favorable political environment. d. all of the above. e. none of the above.
Chapter 30: Problem 12
Economic growth and development in LDCs are low because many of them lack a. capital investment. b. technological progress. c. a favorable political environment. d. all of the above. e. none of the above.
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Get started for freeWhich of the following is true when making GDP per capita comparisons among nations? a. The GDP per capita is subject to greater measurement errors for LDCs compared to IACs. b. The GDP per capita does not measure income distribution. c. The GDP per capita is subject to fluctuations from changes in exchange rates. d. All of the above are true.
An LDC is defined as a country a. without large stocks of advanced capital. b. without well-educated labor. c. with low GDP per capita. d. that is described by all of the above.
When the government fixes the exchange rate above market exchange rates, a. international trade falls. b. the infrastructure improves. c. real GDP per capita rises. d. the vicious circle of poverty is broken.
Which of the following best defines the vicious circle of poverty? a. The GDP per capita must rise before people can save and invest. b. People cannot save while capital accumulates. c. Increased GDP per capita relates to lower population growth. d. Poverty, saving, and investment are related like a circle.
In order for Ethiopia to increase its future economic growth, it must choose a point that is a. below its production possibilities curve. b. further along on its production possibilities curve toward the capital goods axis. c. further along on its production possibilities curve toward the consumption goods axis. d. further along on its production possibilities curve away from the population axis. e. above its production possibilities curve.
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