ECO 201 - chap 22 Exam Questions and Answers Fully Solved
1) The world's economies can be divided into four main categories according to their annual per-capita
income levels. Which one of the following is NOT one of the categories?
A) low-income
B) upper middle-income
C) high-income
D) lower middle-income
E) middle-income - Answers E
2) Average per-capita GDP in the richest, most prosperous economies is ________ times that of the
average in the ________ economies.
A) 95, low (poorest) income
B) 95, lower-middle income
C) 73, lower-middle income
D) 44, low (poorest) income
E) 69, low (poorest) income - Answers E
3) Compared with industrialized economies, most developing countries are poor in the factors of
production essential to modern industry: These factors are
A) capital and skilled labor.
B) capital and unskilled labor.
C) fertile land and unskilled labor.
D) fertile land and skilled labor.
E) water and capital. - Answers A
4) The main factors that discourage investment in capital and skills in developing countries are
A) political instability, insecure property rights.
B) political instability, insecure property rights, misguided economic policies.
C) political instability, misguided economic policies.
D) political instability.
,E) insecure property rights, misguided economic policies. - Answers B
5) The per-capita GNP of the industrial group is about ________ times that of the upper middle-income
countries.
A) 6
B) 10
C) 15
D) 19
E) 2 - Answers A
6) When one compares per-capital output growth rates among countries
A) one needs to correct the data to account for departures from purchasing power parity.
B) such corrections are often not necessary.
C) such corrections are sometimes necessary.
D) the evidence whether such corrections are necessary are vague.
E) such corrections are not necessary. - Answers A
7) Over the period 1960-2010, the United States economy grew at roughly
A) 2.1 percent.
B) 3 percent.
C) 4 percent.
D) one percent.
E) 3.5 percent. - Answers A
8) Over the period 1960-2000, France grew ________ than the United States economy
A) 2 % slower.
B) 2% faster.
C) more than 2% slower.
D) less than 2% faster.
E) more than 2% faster. - Answers D
, 9) Over the post-war era, the gaps between industrial countries' living standards
A) disappeared.
B) stayed the same.
C) increased.
D) decreased.
E) fluctuated. - Answers D
10) Over the post-war era, the gaps between countries' living standards
A) disappeared.
B) stayed the same.
C) increased.
D) decreased.
E) changed inconsistently. - Answers E
11) Over the post-war era, poorer countries grew
A) faster.
B) slower.
C) stayed the same.
D) grew faster, then grew slower.
E) No general tendency can be found. - Answers E
12) Since 1960, countries in Africa have grown at rates ________ those of the main industrial countries.
A) far below
B) far above
C) about the same
D) slightly below
E) slightly above - Answers A
13) Since 1960, South Korea and Singapore enjoyed an average per-capita growth rates ________ the
average industrialized world.
1) The world's economies can be divided into four main categories according to their annual per-capita
income levels. Which one of the following is NOT one of the categories?
A) low-income
B) upper middle-income
C) high-income
D) lower middle-income
E) middle-income - Answers E
2) Average per-capita GDP in the richest, most prosperous economies is ________ times that of the
average in the ________ economies.
A) 95, low (poorest) income
B) 95, lower-middle income
C) 73, lower-middle income
D) 44, low (poorest) income
E) 69, low (poorest) income - Answers E
3) Compared with industrialized economies, most developing countries are poor in the factors of
production essential to modern industry: These factors are
A) capital and skilled labor.
B) capital and unskilled labor.
C) fertile land and unskilled labor.
D) fertile land and skilled labor.
E) water and capital. - Answers A
4) The main factors that discourage investment in capital and skills in developing countries are
A) political instability, insecure property rights.
B) political instability, insecure property rights, misguided economic policies.
C) political instability, misguided economic policies.
D) political instability.
,E) insecure property rights, misguided economic policies. - Answers B
5) The per-capita GNP of the industrial group is about ________ times that of the upper middle-income
countries.
A) 6
B) 10
C) 15
D) 19
E) 2 - Answers A
6) When one compares per-capital output growth rates among countries
A) one needs to correct the data to account for departures from purchasing power parity.
B) such corrections are often not necessary.
C) such corrections are sometimes necessary.
D) the evidence whether such corrections are necessary are vague.
E) such corrections are not necessary. - Answers A
7) Over the period 1960-2010, the United States economy grew at roughly
A) 2.1 percent.
B) 3 percent.
C) 4 percent.
D) one percent.
E) 3.5 percent. - Answers A
8) Over the period 1960-2000, France grew ________ than the United States economy
A) 2 % slower.
B) 2% faster.
C) more than 2% slower.
D) less than 2% faster.
E) more than 2% faster. - Answers D
, 9) Over the post-war era, the gaps between industrial countries' living standards
A) disappeared.
B) stayed the same.
C) increased.
D) decreased.
E) fluctuated. - Answers D
10) Over the post-war era, the gaps between countries' living standards
A) disappeared.
B) stayed the same.
C) increased.
D) decreased.
E) changed inconsistently. - Answers E
11) Over the post-war era, poorer countries grew
A) faster.
B) slower.
C) stayed the same.
D) grew faster, then grew slower.
E) No general tendency can be found. - Answers E
12) Since 1960, countries in Africa have grown at rates ________ those of the main industrial countries.
A) far below
B) far above
C) about the same
D) slightly below
E) slightly above - Answers A
13) Since 1960, South Korea and Singapore enjoyed an average per-capita growth rates ________ the
average industrialized world.
