Economic growth is difficult for poor countries because
A. governments must fund capital production and research out of tax revenues.
B. resources must be taken away from consumer goods to pay for capital goods.
C. those wealthy enough to invest in domestic industries may choose to invest abroad instead.
D. All of the choices are true.
D. All of the choices are true.
You might also like to view...
In sequential order, the four phases of the business cycle are
A) trough, peak, expansion, contraction. B) peak, contraction, trough, expansion. C) expansion, contraction, peak, trough. D) contraction, trough, peak, expansion.
If the marginal propensity to consume in a country is 0.6, then a $5,000 increase in transfer payments will lead to a _____ in real GDP
a. $8,000 increase b. $2,500 decrease c. $5,000 decrease d. $7,500 increase
An unexpected sharp reduction in inflation will most likely result in
a. the rapid growth of output and employment. b. a reduction in the actual rate of unemployment. c. a reduction in the natural rate of unemployment. d. a temporary increase in unemployment and a decline in real output.
Refer to the information provided in Figure 13.9 below to answer the question(s) that follow. 
Figure 13.9 Refer to Figure 13.9. If Ohio Edison engages in rent-seeking behavior to maintain their monopoly, the true ________ is BEC and the portion of area FGBE that pays for the rent-seeking behavior.
A. net social gain from monopoly B. net social cost of monopoly C. consumer surplus D. producer surplus