Week 3 WEEKLY ASSESSMENT Week 3 Institutions and Crises.docx.pdf

Week 3 WEEKLY ASSESSMENT Week 3 Institutions and Crises.docx.pdf

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WEEKLY ASSESSMENT Week 3: Institutions and Crises in Asia 1. Rodrik and Subramian (2003) feel obligated to address the question of endogeneity in their analysis of the impact of institutions on growth: What is the specific endogeneity problem they are concerned about? Option Respondents Selected (%) Resource endowments generate both good institutions and economic growth. 7 2 % People migrate from poor to rich countries. 1 0 % Highly contagious diseases would affect the extent of colonial activity and economic growth. 2 0 % Institutions may cause growth, but richer countries can afford to create and maintain higher quality institutions. 292 85 % None of the above. 38 11 % 2. Rodrik and Subramian (2003) test the impact of three factors on longPterm economic growth. What are they? Option Respondents Selected (%) culture, colonial influence, economic openness 0 0 % geography, culture, foreign investment 0 0 % geography, integration, institutions 337 99 % size of domestic market, quality of infrastructure, institutions 2 0 % None of the above 1 0 % 3. Which of these is NOT an economic institution considered by Rodrik and Subramian (2003): Option Respondents Selected (%) marketPaugmenting 334 98 % marketPstabilizing 1 0 % marketPcreating 1 0 % marketPregulating 0 0 % marketPlegitimizing 3 0 % 4.
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