+1 862 207 3288 1. MBN 5.2 Page 34
Most international attempts to aid people living in low-income nations have come in one of two forms: (i) gifts of consumer goods (such as food) and (ii) assistance in constructing or obtaining capital goods (such as tractors, dams, or roads). How likely are such efforts to permanently raise the standard of living in such countries? Please explain.
2. MBN 5.4 Page 34
Consider two counties, A and B, which have identical physical endowments of a key resource. In country A, any profits that are made from extracting that resource are subject to confiscation by the government, while in county B, there is no such risk. How does the risk of expropriation affect the economic endowment of the two nations? In which nation are people richer?
3. MBN 5.6 Page 34
If the crucial factor determining a country’s low standard of living is the adverse set of legal and cultural institutions it possesses, can you offer suggestions for how the other countries of the world might help in permanently raising that countries standard of living?
4. TS 8. 5
Why is eradicating child labor seen as an economic investment?
5. TS 8.7
Explain some of the reasons why developing countries have not realized a greater positive development impact from their higher education programs.
6. TS 8.8
Why should the development of a solid elementary education system take precedence over an expansion of the university system in developing countries?
7. TS 8.9
Evaluate critically the following statement: The developed countries have all shown a significant increase in the numbers of university-trained workers as incomes have risen; thus the development of a solid university system should be among the major priorities of developing countries.
8. TS 8.10
Explain why the education of girls is probably the most cost-effective development investment. Be sure to include in your answer some discussion of at least two of the following: absolute poverty, health and development, fertility, and agriculture.
9. TS 8.14
How can an increase in human capital lead to an increase in GDP? Why might it not lead to an increase in GDP?
10. TS 8.15
Investment in human capital is very similar to investing in physical capital. True or false? Explain your answer.
11. TS 3.1
What are the main differences between the linear stages and international dependency models of development?
12. TS 3.5
Dependency theory characterizes countries as being either in the center or on the periphery. Explain these two concepts. If this theory is correct, what are the implications for development strategy?
13. TS 3.6
Apply what you have learned about development and development theories so speculate on the following thought experiment: What if anything might be different about today’s international economic order if the Spanish had colonized North America and the English had colonized South America?
14. TS 3.8
Patterns of development or structural change analysis stress internal change in a developing country’s economic, industrial, and institutional structure. What are some of the most important changes?
15. TS 3.9
Explain the concept of the “idea gap” in development economics.
16. TS 5.7
Generally speaking, higher income countries tend to have less income inequality than low income countries, however this does not always hold true. What could cause a low income country to have low income inequality?
17. TS 5.8
Discuss the benefits of using a “poverty weighted” index of GNP growth as a measure of social welfare as opposed to using the growth in GNP to measure change in social welfare.
18. TS 5.9
Increasing GNP is a necessary but not a sufficient condition for improving living standards in less developed countries. True or false, explain.
19. TS 5.12
Why are about 100 million girls and women said to be “missing” in developing countries?
20. TS 5.13
What are factor price distortions, and what are their major causes in developing countrie
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