Exam 20: Economic Growth in Developing Economies

________ is (are) estimated at approximately $100 billion per year.

________ implementing export promotion policies is Japan.

One of the most successful countries in implementing export promotion policies is

A majority of the population of the Global South live in ________ and work ________.

The World Bank lends money to countries to

Microfinance is aimed at introducing entrepreneurs among the very poorest parts of the developing world to the capital market.

In Rajasthan, India teachers in half of the community's schools were asked to have their pictures taken with their children, and this evidence of attendance fed into the compensation of the teacher. The result of this experiment was that teacher absentee rates ________ relative to classrooms in which no cameras were introduced.

With random experiments, outcomes of specific interventions are are determined by using the intervention in a(n) ________ subset of a sample and then comparing outcomes from the exposed and control group.

The ________ hypothesis states that poor countries are unable to save and invest enough to accumulate capital stock that would help them grow.

Human capital shortages are not a barrier to economic growth in developing countries.

Literacy rates in the Global South ________ the Global North.

Most economists believe that import-substitution strategies have been quite successful around the world.

The tendency of talented people in developing countries to get education in developed countries and stay there after graduation is called

A very small percentage of GDP tends to come from the service sectors in poor countries.

Related to the Economics in Practice on page 390: In areas of Bangladesh where the government has invested in building flood embankments,

The International Monetary Fund (IMF) makes loans to encourage economic development.

China has developed a rapid approach to development.

Insufficient capital formation can limit a poor nation's economic growth.

In a developing economy, scarcity of capital may have more to do with a lack of incentive for citizens to save and invest productively than with any absolute scarcity of income available for capital accumulation.

The following situation is an example of an import substitution strategy. Costa Rica has a comparative advantage in the production of coffee and, as a result, the Costa Rican government grants incentives to coffee planters to improve their performance in the international marketplace.