Economic Development Answers

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A country that has multinational corporations is most likely to be

A
a developed economy.
B
a transitioning economy.
C
a developing economy.
D
a control economy.
2
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In a transitioning economy, what is a downside of rapid economic growth?

A
Rapid economic growth can be difficult to regulate.
B
Rapid economic growth benefits only the wealthy.
C
Rapid economic growth usually leads to a crash.
D
Rapid economic growth may stifle cultural growth.
3

One factor that indicates a developed economy's standard of living is its

A
growth in outsourcing rates.
B
strong social connections.
C
high levels of education.
D
low GDP per capita.
4

In a transitional economy, a(n) ________ economy is changing to a mixed-market economy.

A
advanced
B
command
C
free-market
D
developed
5

One social issue often facing developing countries is

A
democratic rule is easily obtainable.
B
reluctance to accept change.
C
a shortage of natural resources.
D
very high population growth.
6

Read this excerpt describing the mission of the World Bank.The World Bank is a vital source of financial and technical assistance to developing countries around the world. It is not a bank in the common sense. Instead, it plays a different but supportive role in its mission of global poverty reduction and the improvement of living standards.It provides low-interest loans, interest-free credit, and grants to developing countries for education, health, infrastructure, communications, and many other purposes.

A
The World Bank is a source of financial assistance.
B
The World Bank aims to improve living standards.
C
The World Bank provides low-interest loans and credit.
D
The World Bank serves people of different income levels.
7

The Czech Republic’s decision in 2003 to join the European Union indicated that the Czech Republic

A
was now equal in wealth to all other European nations.
B
would give all economic control to the European Union.
C
was willing to forge economic ties with other nations.
D
would eventually achieve a mixed-market economy.
8

As of 2013, which of these countries had the highest GDP per capita?

A
Uganda
B
the United States
C
Switzerland
D
Brazil
9

How might foreign investment be problematic for a transitioning economy?

A
Foreign investment can temporarily slow economic growth.
B
It may be difficult to adjust to another nation’s influence.
C
A foreign government may seize control of the country.
D
The transitioning economy must adopt a foreign currency.
10

Why are environmental problems common in developing countries?

A
The citizens of developing countries have not been educated about the dangers of pollution and the need to protect resources.
B
People in developing countries travel long distances by car to get to work and school, leading to air pollution and habitat destruction.
C
Rapid growth of new industries and technology has led to an enormous increase in environmental woes in developing countries.
D
Developing countries often specialize in manufacturing and providing raw materials, which can seriously harm the environment.
11

is the process of an economy’s increasing industrialization, standard of living, and economic wealth.

Answer not available
12

Which statement accurately describes a developing country?

A
The country's population has a high growth rate.
B
The country has a high standard of living.
C
The country's population has a high life expectancy.
D
The country has a high GDP per capita.
13

One sign of transition to a mixed-market economy is the establishment of

A
a fair labor market.
B
anti-poverty regulations.
C
state-owned business.
D
a smaller middle class.
14

What does the International Monetary Fund (IMF) seek to accomplish for developing countries?

A
The IMF establishes industries and technologies in developing countries.
B
The IMF helps a developing country’s citizens establish bank accounts.
C
The IMF gives college aid to qualified individuals in developing countries.
D
The IMF provides economic advice and loans to developing countries.

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