____ 118. Which of the following is correct? a. Political instability can reduce foreign investment, reducing growth. b. Gary's Becker proposal to pay mothers in developing countries to keep their children in school has not worked very well in practice. c. Policies designed to prevent imports from other countries generally increase economic growth. d. All of the above are correct. ____ 119. The dictator of Turan has recently begun to arbitrarily seize farms belonging to his political opponents, and he has given the farms to his friends. His friends don't know much about farming. The courts in Turan have ruled that the seizures are illegal, but the dictator has ignored the rulings. Other things equal, we would expect that the growth rate in Turan will
____ 120. Inward-oriented policies ____ 121. Inward-oriented policies ____ 122. The President of a developing country proposes that his country needs to help domestic firms by imposing trade restrictions. a. These are outward-oriented policies and most economists believe they would have beneficial effects on growth. b. These are outward-oriented policies and most economists believe they would have adverse effects on growth. c. These are inward-oriented policies and most economists believe they would have beneficial effects on growth. d. These are inward-oriented policies and most economists believe they would have adverse effects on growth. ____ 123. Recently there have been violent protests against the World Bank and the World Trade Organization. The protesters argue that these institutions promote free trade and also encourage corporations in rich countries to invest in poor countries. The protesters contend that these practices make rich countries richer and poor countries poorer. An economist would
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- Spring '11
- gross domestic product