Economics: Today and Tomorrow © 2012

Chapter 19: Economic Growth in Developing Nations

Economic Growth in Developing Nations

1
The basic economic activity of developing nations centers on _____.
A)manufacturing
B)service industries
C)agriculture
D)financing
2
A fundamental reason that there is little economic growth in Africa is that _____.
A)the population is growing too slowly
B)the farmers have too many crops to export
C)the nations have increased spending on technical and engineering schools
D)less than 10% of its land is formally owned
3
Which of the following is defined as the percentage of people who can read and write?
A)Developed nations
B)Developing nations
C)Infant mortality rate
D)Adult literacy rate
4
Sending engineers and technicians to build transportation and communications systems in a developing country is an example of _____.
A)foreign investment
B)economic assistance
C)technical assistance
D)military assistance
5
Sending either economic or technical assistance to a nation's armed forces is called _____.
A)military assistance
B)confiscation
C)foreign aid
D)technical assistance
6
Traditional attitudes in developing nations _____.
A)are an obstacle to economic growth
B)do not affect a nation's economy
C)encourage economic growth
D)support change
7
Indonesia failed to sustain its rapid economic growth because of _____.
A)government restrictions on trade
B)reliance on a few products
C)lack of foreign investment
D)lack of foreign aid
8
Trade restrictions that prevent consumers from purchasing cheaper foreign substitutes are called _____.
A)bureaucracies
B)capital flight
C)innovations
D)quotas
9
Which of the following illustrates China’s lack of well-defined property rights?
A)The government no longer owns the major urban industries.
B)Rural farmland is often owned by city-dwellers.
C)Provincial governors are free to establish their own production quotas.
D)Investors often bribe government officials in order to acquire needed resources.
10
Why has China encouraged foreign investment?
A)to reduce pollution
B)to promote growth and access to global markets
C)to protect private property rights
D)to open U.S. markets to Chinese products
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