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Question
In the two-gap model, which of the following gaps, when binding, leads to foreign aid having the largest impact on GNP?(a) Fiscal gap.
(b) Savings gap.
(c) Foreign exchange gap.
(d) None of the above.
Answer
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Related questions
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Name <<some number>> of the ten points of the Washington Consensus. What is missing from this list? Did the Santiago Consensus address what was missing?
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A major cause of environmental degradation in developing countries is
(a) population growth.
(b) rural poverty.
(c) rapid urbanization.
(d) all of the above.
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How will global warming and climate change adversely impact the "poor," particularly in developing nations?
Q:
During the 1990s, food production increased faster than population in all regions of the developing world except
(a) Latin America.
(b) East Asia.
(c) Sub-Saharan Africa.
(d) none of the above.
Q:
In a world of perfect certainty, sharecropping would be less efficient than a farm owner working his own farm because
(a) sharecroppers receive only half of their marginal product.
(b) paying a worker a wage gives him or her an incentive to shirk.
(c) sharecroppers are exploited by landlords.
(d) renting farmland concentrates risk on the renters.
(e) all of the above.
Q:
In which of these developing regions has food production per capita steadily fallen over the last quarter century?
(a) Africa.
(b) East Asia.
(c) South Asia.
(d) Latin America.
Q:
It is important to place particular stress on the role of women in rural development programs because
(a) women have received less training in the past.
(b) women perform a large majority of the work in the rural sector.
(c) women tend to allocate more resources to their children's health and education.
(d) all of the above.
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What role should the government play with respect to the agricultural sector in developing countries in their attempt to alleviate poverty?
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What is (are) the key characteristic(s) of the agrarian system in Sub-Saharan Africa?
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What are the key characteristics of the agrarian system in Asia that distinguish it from that of Latin America? Explain your answer.
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Explain the role of risk and uncertainty in an analysis of the economic behavior of peasant farmers. What kinds of questions does this analysis enable us to answer?
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Discuss the pros and cons of the recent introduction and expansion of stock markets in the developing countries.
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What are the major market failures that imply a potential role for state intervention in financial markets?
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Discuss how remittances can help reduce poverty and meet other development objectives in recipient nations?
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What are the main factors that have contributed to Botswana's relative economic success compared to other Sub-Saharan African countries? Why were these factors not emulated by other SSA countries?
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Why does multinational corporation investment not necessarily offer the advantage of domestic employment expansion?
Q:
Special Drawing Rights are financial assets created by
(a) the World Bank.
(b) the United National Development Program.
(c) multinational corporations.
(d) the International Monetary Fund.
Q:
Debt service payments appear in
(a) the current account.
(b) the capital account.
(c) the cash account.
(d) errors and omissions.
Q:
What is meant by petrodollar recycling? Explain the mechanism by which this phenomenon occurred. What were the consequences of this phenomenon for developing countries?
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How did the Mexican debt crisis of the early 1980s come about? How has the Mexican economy coped during the past 20 years, in the aftermath of the debt crisis? What has been the legacy of the debt crisis for the Mexican economy?
Q:
In most less developed countries, the initial target of import substitution is to promote domestic production of
(a) consumer goods.
(b) food and other agricultural goods.
(c) capital goods.
(d) manufactured intermediate goods.
Q:
Nontariff barriers
(a) decrease foreign exchange earnings.
(b) reduce the quantity of goods exported.
(c) lower the effective price received for exports.
(d) all of the above.
Q:
Which of the following is a nontariff barrier policy tool?
(a) Sanitary regulations.
(b) Average duties.
(c) Phased liberalization.
(d) Ad valorem tax.
Q:
An economic community
(a) attempts to raise prices by restricting quantity.
(b) seeks to stabilize commodity prices.
(c) seeks concesssional loans.
(d) imposes a common external tariff.
(e) none of the above.
Q:
The effective rate of protection is
(a) value added with protection divided by value added without protection.
(b) value added with protection.
(c) value added without protection.
(d) (value added with protection minus value added without protection) divided by value added without protection.
Q:
Guiding the market through strategic coordination of business investments to increase export market shares is known as
(a) development planning.
(b) industrial policy.
(c) shifting terms of trade.
(d) all of the above.
(e) none of the above.
Q:
Which of the following is an argument in favor of interventionist trade policies?
(a) Cheaper capital goods.
(b) Declining terms of trade.
(c) Decreased losses from rent-seeking activities.
(d) All of the above.
(e) None of the above.
Q:
Autarchy as used in the text refers to
(a) an economy that does not trade.
(b) an economy that trades primary products in exchange for manufactures.
(c) developing country dictatorships.
(d) the caste system and related social structures.
Q:
According to the Prebisch-Singer thesis
(a) demand for primary products has steadily fallen.
(b) profits of primary producers have steadily fallen.
(c) primary producers' terms of trade have steadily fallen.
(d) prices of primary products have risen over time.