Question 1

One dominant characteristic of poor countries is that too many people are engaged in the industrial sector and not enough people are in agriculture to produce badly needed food.

Accepted Answer

A) True 
 B)False

Question 2

The World Bank, an international organization designed to support economic development, classifies countries according to their levels of per capita gross national income. Countries with per capita incomes of more than $936 but less than $11,455 in 2007 were classified as

Accepted Answer

A)   less-developed countries.
B)   transitional countries.
C)   developing countries.
D)   middle-income countries.

Question 3

The human development index captures all the different dimensions of human
Jdevelopment including political freedom and environmental sustainability.

Accepted Answer

A) True 
 B)False

Question 4

According to the World Bank's classification of countries' levels of per capita gross national income, in 2007 the majority of the world's population lived

Accepted Answer

A)   in middle-income countries.
B)   in low-income countries.
C)   below the international poverty line of $1.25 a day.
D)   in the African continent.

Question 5

Which of the following statements is true? According to the World Bank,

Accepted Answer

A)   in 2005 about 1.4 billion people, about a quarter of the population of developing countries was poor, defined as living on less than $1.25 a day, the international poverty line.
B)   between 1980 and 2005, the number of people living below the international poverty line, defined as living on less than $1.25 a day, has decreased significantly.
C)   poverty reduction in sub-Saharan Africa has been phenomenal over the last 25 years.
D)   the majority of the world's poor are in the Indian sub-continent and in China.

Question 6

Low-income countries are usually characterized by high rates of population growth and very high unemployment.

Accepted Answer

A) True 
 B)False

Question 7

Over a 10-year period, country A has real GDP and population growth rates of 5% and 7%, respectively; country B has real GDP and population growth rates of 3% and 1%, respectively. All other things unchanged, per capita real GDP has increased

Accepted Answer

A)   more in country A.
B)   more in country B.
C)   about the same in both countries.
D)   in neither country.

Question 8

China is an example of a country that has achieved a very low rate of population growth and a very high rate of growth in per capita GNP. Which of the following policies did the Chinese government adopt to bring about this dramatic drop in the population growth rate? 
I. The government started and enforced a "one-child family" policy which included mandatory birth control and forced sterilization.
II. Couples who opted to have only one child were rewarded with special benefits such as compensation for mothers who follow China's birth policies.
III. Couples who opted to have more than one child were dealt punishments such as fines, loss of employment and confiscation of property.

Accepted Answer

A)   I only
B)   II only
C)   I and III only
D)   I, II, and III

Question 9

What is the difference between economic growth and economic development?

Accepted Answer

A)   Economic growth examines qualitative changes in the processes by which potential output increases over time, whereas economic development examines how a country moves from one point on its production possibility curve to another point on the curve.
B)   Economic growth implies qualitative changes in productive processes whereas economic development requires quantitative change in virtually every aspect of life.
C)   Economic growth implies quantitative changes in productive processes whereas economic development requires widespread structural changes in the way people live.
D)   There is no difference between the two terms.

Question 10

What is the fundamental argument in Malthus' An Essay on the Principle of Population?

Accepted Answer

A)   Ultimately, population growth rate would outpace growth in real GDP leading to declining standards of living.
B)   Population growth tends to undermine global stability which is a stimulus for future wars and conflicts.
C)   Population would increase at a geometric rate and the food supply at an arithmetic rate and that this disharmony would lead to forced return to HYPERLINK "http://en.wikipedia.org/wiki/Subsistence" \o "Subsistence" subsistence-level conditions.
D)   Population growth is the root cause of hunger, poverty, environmental destruction, disease, and social unrest.

Question 11

Roads, telephone lines, power facilities, and schools are examples of a nation's

Accepted Answer

A)   technostructure.
B)   infrastructure.
C)   physiostructure.
D)   sociostructure.

Question 12

The human development index is a more powerful alternative to GDP per capita as a summary measure of human well-being.

Accepted Answer

A) True 
 B)False

Question 13

Economic development is defined as a process that produces sustained and widely shared gains in per capita real GDP.

Accepted Answer

A) True 
 B)False

Question 14

The proposal to provide different and special treatment in international trade to developing nations is espoused by adherents to the

Accepted Answer

A)   neo-classical growth theory.
B)   preferential trade theory.
C)   convergence theory.
D)   dependency theory.

Question 15

Demographic transition is a process in which population growth initially rises with a fall in death rates and then falls with a reduction in birth rates.

Accepted Answer

A) True 
 B)False

Question 16

A primary source of growth in wealthy countries has been a shift out of agriculture into more productive sectors.

Accepted Answer

A) True 
 B)False

Question 17

Economic development

Accepted Answer

A)   examines the process by which a country's production possibilities curve shifts outward over time.
B)   focuses on how countries can move toward their level of potential output and achieve widely shared gains in GDP per capita.
C)   concentrates on how a country can increase its human capital and labor productivity to bring about changes in productive processes.
D)   requires reductions in a country's population growth rate and at the same time, increases in real GDP.

Question 18

Compared to middle- and high- income countries, low-income countries are often characterized by

Accepted Answer

A)   higher rates of population growth.
B)   greater government control by large, relatively poor groups.
C)   a smaller share of income used for consumption.
D)   a smaller proportion of the labor force in agriculture.

Question 19

All of the following are consequences of China's "one-child family" policy except

Accepted Answer

A)   Local officials in charge of monitoring births may have an incentive to underreport the number of births to avoid punishment by the government.
B)   China's cultural preference for sons has led to a large number of incidences of female infanticide.
C)   China's policy succeeded in lowering its birth rate and, despite the absolute size of its total population, led to a net decrease of its population.
D)   There were political consequences: the United States, as well as many other countries, have publicly expressed their disapproval with Chinese leaders for their sterilization policies.

Question 20

Which of the following is a common of feature of economies such as South Korea, Taiwan, Hong Kong, Singapore, Chile that have achieved significant gains in economic growth?

Accepted Answer

A)   Abundant exportable natural resources
B)   The existence of a market economy
C)   A low degree of government involvement in the provision of housing, health care, and education
D)   Heavy reliance on foreign investments

Exam 19: Economic Development

Demographic transition is a process in which population growth initially rises with a fall in death rates and then falls with a reduction in birth rates.

Correct Answer
verified

Economic development

Correct Answer
verified

Which of the following statements is true? According to the World Bank,

Correct Answer
verified

What is the fundamental argument in Malthus' An Essay on the Principle of Population?

Correct Answer
verified

Compared to middle- and high- income countries, low-income countries are often characterized by

Correct Answer
verified

Economic development is defined as a process that produces sustained and widely shared gains in per capita real GDP.

Correct Answer
verified

Correct Answer
verified

Roads, telephone lines, power facilities, and schools are examples of a nation's

Correct Answer
verified

One dominant characteristic of poor countries is that too many people are engaged in the industrial sector and not enough people are in agriculture to produce badly needed food.

Correct Answer
verified

What is the difference between economic growth and economic development?

Correct Answer
verified

The human development index captures all the different dimensions of human Jdevelopment including political freedom and environmental sustainability.

Correct Answer
verified

The human development index is a more powerful alternative to GDP per capita as a summary measure of human well-being.

Correct Answer
verified

Over a 10-year period, country A has real GDP and population growth rates of 5% and 7%, respectively; country B has real GDP and population growth rates of 3% and 1%, respectively. All other things unchanged, per capita real GDP has increased

Correct Answer
verified

The proposal to provide different and special treatment in international trade to developing nations is espoused by adherents to the

Correct Answer
verified

The World Bank, an international organization designed to support economic development, classifies countries according to their levels of per capita gross national income. Countries with per capita incomes of more than $936 but less than $11,455 in 2007 were classified as

Correct Answer
verified

Low-income countries are usually characterized by high rates of population growth and very high unemployment.

Correct Answer
verified

A primary source of growth in wealthy countries has been a shift out of agriculture into more productive sectors.

Correct Answer
verified

According to the World Bank's classification of countries' levels of per capita gross national income, in 2007 the majority of the world's population lived

Correct Answer
verified

Which of the following is a common of feature of economies such as South Korea, Taiwan, Hong Kong, Singapore, Chile that have achieved significant gains in economic growth?

Correct Answer
verified

All of the following are consequences of China's "one-child family" policy except

Correct Answer
verified

Exam 19: Economic Development

Demographic transition is a process in which population growth initially rises with a fall in death rates and then falls with a reduction in birth rates.

Correct AnswerverifiedShow Answer

Economic development

Correct AnswerverifiedShow Answer

Which of the following statements is true? According to the World Bank,

Correct AnswerverifiedShow Answer

What is the fundamental argument in Malthus' An Essay on the Principle of Population?

Correct AnswerverifiedShow Answer

Compared to middle- and high- income countries, low-income countries are often characterized by

Correct AnswerverifiedShow Answer

Economic development is defined as a process that produces sustained and widely shared gains in per capita real GDP.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Roads, telephone lines, power facilities, and schools are examples of a nation's

Correct AnswerverifiedShow Answer

One dominant characteristic of poor countries is that too many people are engaged in the industrial sector and not enough people are in agriculture to produce badly needed food.

Correct AnswerverifiedShow Answer

What is the difference between economic growth and economic development?

Correct AnswerverifiedShow Answer

The human development index captures all the different dimensions of human Jdevelopment including political freedom and environmental sustainability.

Correct AnswerverifiedShow Answer

The human development index is a more powerful alternative to GDP per capita as a summary measure of human well-being.

Correct AnswerverifiedShow Answer

Over a 10-year period, country A has real GDP and population growth rates of 5% and 7%, respectively; country B has real GDP and population growth rates of 3% and 1%, respectively. All other things unchanged, per capita real GDP has increased

Correct AnswerverifiedShow Answer

The proposal to provide different and special treatment in international trade to developing nations is espoused by adherents to the

Correct AnswerverifiedShow Answer

The World Bank, an international organization designed to support economic development, classifies countries according to their levels of per capita gross national income. Countries with per capita incomes of more than $936 but less than $11,455 in 2007 were classified as

Correct AnswerverifiedShow Answer

Low-income countries are usually characterized by high rates of population growth and very high unemployment.

Correct AnswerverifiedShow Answer

A primary source of growth in wealthy countries has been a shift out of agriculture into more productive sectors.

Correct AnswerverifiedShow Answer

According to the World Bank's classification of countries' levels of per capita gross national income, in 2007 the majority of the world's population lived

Correct AnswerverifiedShow Answer

Which of the following is a common of feature of economies such as South Korea, Taiwan, Hong Kong, Singapore, Chile that have achieved significant gains in economic growth?

Correct AnswerverifiedShow Answer

All of the following are consequences of China's "one-child family" policy except

Correct AnswerverifiedShow Answer

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