Exam 17: Institutions, Policies, and Cross-Country Differences in Income and Growth

These two countries adopted reforms that liberalized their economies during the 1960s and they eventually became two of the world's freest economies. The two economies are

Which of the following countries have liberalized their economies and substantially improved their economic freedom rating since 1990?

The rapid growth rates of less developed countries (LDCs) after adopting institutions and policies more favorable to economic freedom and voluntary exchange is not surprising when one considers that

Which of the following provides the best explanation of why low-income countries generally remain poor?

During 1980-2005, the developing countries that moved most rapidly toward economic freedom

How does investment as a share of GDP in countries with more economic freedom compare with economies that are less free? How does the productivity of investment in the freer economies compare with its productivity in the less free economies? How will this influence differences in growth rates and income levels? Explain.

Which of the following countries began liberal economic reforms during the 1980s and now have significantly more economic freedom than during the mid-1980s?

When considering the impact of institutions and policies on economic performance, it is most important to focus on

In the absence of an even-handed legal system, high transaction costs will eliminate many potential mutually advantageous trades and the accompanying gains from

A less-developed nation will be able to benefit substantially by adopting the technologies and the business practices that have been successful in other nations, but only if

If a country is going to achieve a high economic freedom rating, it must

The purchasing power parity (PPP) method

Which of the following is true of modern technology?

Which of the following will increase economic freedom?

Which of the following about economic growth is true?

According to data on GDP growth between 1980 and 2010,

The experience of Ireland in the last four decades indicates that in order to achieve high rates of economic growth countries must

Private ownership and competitive markets are important for economic growth because they provide individuals with a strong incentive to:

Compared to those with less economic freedom, countries with more economic freedom generally have ____ per capita GDP levels and ____ growth rates.

Countries with more economic freedom have levels of economic growth that