Chapters 6-10

The Green Revolution has had the most impact thus far in: a. Asia. b. Latin America. c. Eastern Europe. d. sub-Saharan Africa

a. Asia.

An major explanation for the relative economic inefficiency of farming of fertile lands on the latifundios is a function of: a. Wealthy owners often value these landholdings not for their personal contributions to national agriculture output, but for prestige and power that landownership brings. b. Wealthy owners often value these landholdings for their personal contributions to national agriculture output. c. Wealthy owners often value these landholdings for their personal contributions to national agriculture output, including personal happiness and joy. d. None of the above.

a. Wealthy owners often value these landholdings not for their personal contributions to national agriculture output, but for prestige and power that landownership brings.

Bob owns 5 acres of land. Bob sells the land to a real estate developer who builds a subdivision with 10 houses. The land is an example of a good that is: a. both rival in consumption and excludable. b. neither rival in consumption nor excludable. c. excludable, but not rival in consumption. d. rival in consumption, but not excludable

a. both rival in consumption and excludable.

The informal sector exhibits: a. free entry b. labor intensive methods c. small, competitive firms d. all of the above

a. free entry

International resources shared by all countries such as oceans and air are known as: a. global commons. b. free rider problems. c. nonrenewable resources. d. cooperative resources.

a. global commons.

Concentration of resources on higher rather than basic education in developing countries tends to lead to: a. greater inequality. b. lower fertility. c. less international migration. d. more job creation.

a. greater inequality.

The Malthusian population trap model has been criticized on the grounds that it: a. ignores the role of technological progress. b. assumes that population growth is primarily determined by individual choice over the number of children to have. c. both (a) and (b) are correct. d. neither (a) nor (b) is correct.

a. ignores the role of technological progress.

Studies show that improved education of women in developing countries leads to: a. lower infant mortality. b. better designed, market based development policies. c. lower international dependence. d. all of the above.

a. lower infant mortality.

If a road is congested, then use of that road by an additional person would lead to a: a. negative externality. b. positive externality. c. Pigovian externality. d. free-rider problem with rush hour drivers stuck in traffic.

a. negative externality.

When a good is rival in consumption, a. one person's use of the good diminishes another person's ability to use it. b. people can be prevented from using the good. c. an unlimited number of people can use the good at the same time. d. everyone will be excluded from obtaining the good.

a. one person's use of the good diminishes another person's ability to use it.

For private goods allocated in markets a. prices guide the decisions of buyers and sellers and these decisions lead to an efficient allocation of resources. b. prices guide the decisions of buyers and sellers and these decisions lead to an inefficient allocation of resources. c. the government guides the decisions of buyers and sellers and these decisions lead to an efficient allocation of resources. d. the government guides the decisions of buyers and sellers and these decisions lead to an inefficient allocation of resources.

a. prices guide the decisions of buyers and sellers and these decisions lead to an efficient allocation of resources.

Which of the following would most likely reduce the birthrate? a. public health improvements b. an increase in child mortality c. a decline in the availability of secondary education d. a reduction in the opportunity cost of a woman's time e. all of the above.

a. public health improvements

In stage III of the demographic transition, a. the birth rate and the death rate are relatively low. b. the birth rate and the death rate are relatively high. c. the birth rate is relatively high and the death rate is relatively low. d. the birth rate is relatively low and the death rate is relatively high

a. the birth rate and the death rate are relatively low.

An argument supporting promotion of the urban informal sector is: a. the formal sector is incapable of providing enough employment. b. informal sector workers are poorly educated. c. it uses a relatively high capital intensity. d. it would reduce urban bias

a. the formal sector is incapable of providing enough employment.

Cost advantages to firm A in Bangladesh deciding to locate in Dhaka - the capital of Bangladesh - or for that matter consumer B's decision to reside in Dhaka is based on the concept of: a. Migration b. Agglomeration economies c. External economies d. Central Location Theory

b. Agglomeration economies

In what way do developing countries make the largest contribution to the global concentrations of greenhouse gases? a. vehicle emissions. b. deforestation. c. mining. d. irrigation

b. deforestation.

For the students' families in developing countries, the main implicit cost of secondary education is: a. required school fees. b. earnings or work at home forgone when the student attends school. c. the cost of textbooks. d. incidental costs like school uniforms and transportation.

b. earnings or work at home forgone when the student attends school.

The relationship between levels of pollution and levels of income generally follows an inverted- U shape is commonly known as the: a. pollution-level Laffer curve. b. environmental Kuznets curve. c. sustainability Lorenz curve. d. atmospheric Engel curve.

b. environmental Kuznets curve.

By missing women, economists mean: a. orphaned women. b. females who were not born because of preference for males. c. women who are missing from households because they are working in fields. d. women not accounted for by nationwide census.

b. females who were not born because of preference for males.

Consider a good for which the number of people who benefit from the good is large and the exclusion of any one those people is impossible. In this case, the market for this good will likely a. be provided by a private firm rather than the government. b. have a free-rider problem. c. not exist. d. be limited to a small number of units of production.

b. have a free-rider problem.

When a good is excludable, a. one person's use of the good diminishes another person's ability to use it. b. people can be prevented from using the good. c. no more than one person can use the good at the same time. d. everyone will be excluded from using the good.

b. people can be prevented from using the good.

The hidden momentum of population growth is caused by: a. the demographic transition. b. population age structure. c. the opportunity cost of a woman's time. d. children's contribution to income.

b. population age structure

A major cause of environmental degradation in developing countries is: a. debt for nature swaps. b. poverty. c. a lack of public transportation. d. land reform.

b. poverty.

According to the "Rule of 70," how many years will it take for real GDP per capita to double when the growth rate of real GDP per capita is 5%? a. less than 1 year b. 5 years c. 14 years d. 35 years

c. 14 years

. Silicon Valley, Wall Street, and Route 128 are generally known to have many registered technology and finance firms. The reason(s) why many and other firms choose to concentrate their location in a particular region is based on the theory of: a. Biased growth b. Unbiased Economic Location c. Location economies d. International Firm Mobility

c. Location economies

During the 1990s, food production increased faster than population in all regions of the developing world except: a. Latin America. b. East Asia. c. Sub-Saharan Africa. d. none of the above.

c. Sub-Saharan Africa

Under which of the following scenarios would a park be considered a public good? a. Visitors to the park must pay an admittance fee, but there are always plenty of empty picnic tables. b. Visitors to the park must pay an admittance fee and frequently all of the picnic tables are in use. c. Visitors can enter the park free of charge and there are always plenty of empty picnic tables. d. Visitors can enter the park free of charge, but frequently all of the picnic tables are in use

c. Visitors can enter the park free of charge and there are always plenty of empty picnic tables.

A resource that is publicly owned and allocated under a system of unrestricted access is known as: a. a socialist resource. b. a collective resource. c. a common property resource. d. a transferable resource.

c. a common property resource.

Sharecropping can be best understood as a. a type of agreement preferred by peasants. b. a type of agreement preferred by landlords. c. a compromise between peasant and landlord preferences. d. a type of agreement preferred by neither but given by tradition.

c. a compromise between peasant and landlord preferences.

Private goods are both a. excludable and nonrival in consumption. b. nonexcludable and rival in consumption. c. excludable and rival in consumption. d. nonexcludable and nonrival consumption

c. excludable and rival in consumption.

The Malthusian population trap assumes that: a. contraception is unavailable. b. technological progress may be rapid. c. fertility increases with per capita income. d. all of the above.

c. fertility increases with per capita income.

Human capital is best defined as: a. the amount of wealth people have. b. the amount of money people have to spend on schooling. c. human capacities that raise productivity. d. the average education level of the population.

c. human capacities that raise productivity.

Sustainable development means: a. emphasizing the role of the market. b. emphasizing the role of government. c. meeting the present generation's needs without compromising the needs of future generations. d. maintaining output growth at a constant rate

c. meeting the present generation's needs without compromising the needs of future generations.

Because public goods are a. excludable, people have an incentive to be free riders. b. excludable, people do not have an incentive to be free riders. c. not excludable, people have an incentive to be free riders. d. not excludable, people do not have an incentive to be free riders

c. not excludable, people have an incentive to be free riders.

Assume that in 1990, the number of youths under age-15 and the number of economically active adults (ages 15 to 64) is 25 million and 40 million, respectively. The youth dependency burden or ratio for Tanzania in 1990 is? a. .632 or 63.2% b. .652 or 65.2% c. .40 or 40% d. .625 or 62.5%

d. .625 or 62.5%

Which of the following is an example of congestion costs? a. Longer commutes and greater transportation costs b. Expensive provision of water treatment plants in a city c. Demand for higher wages by workers to cover rising costs of living d. All of the above

d. All of the above

Education of girls is a crucial development investment because: a. it leads to improved child health. b. it leads to reduced fertility. c. women do most of the work in agriculture. d. all of the above.

d. all of the above.

It is important to place particular stress on the role of women in rural development programs because a. women have received less training in the past. b. women perform a large majority of the work in the rural sector. c. women tend to allocate more resources to their children's health and education. d. all of the above.

d. all of the above.

Which of the following will cause the largest reduction in the birthrate? a. the population becomes less religious b. public healthcare improves c. education becomes more available d. an increase in the opportunity cost of a woman's time

d. an increase in the opportunity cost of a woman's time

. Government in developing countries has a role to play in agriculture because of the: a. government's requirement/necessity to reduce poverty among farmers b. nexus between poverty in agriculture areas and credit, collateral, and health c. need to reduce crime on farms d. both a and b. e. both a and c

d. both a and b.

Crops produced entirely for the market are known as: a. basic crops. b. mixed crops. c. hybrid crops. d. cash crops

d. cash crops

The system of land tenure in which tenant farmers pay a fixed share of their crop to landowners is called: a. communal farming. b. collective farming. c. latifundio-minifundio system. d. sharecropping.

d. sharecropping.

The African agrarian system is characterized by: a. absentee landlords. b. a dual agrarian system known as latifundio-minifundio. c. land fragmentation. d. shifting cultivation

d. shifting cultivation

Which of the following is a cause of urban giantism? a. Location of the political capital in the largest metropolitan city in a developing country b. With high imports and other forms of trade barriers, population and economic activity tends to cluster in a major city to reduce costs of doing business c. Cities attract firms seeking skilled and/or unskilled workers d. Dictators and other leaders provide social, economic, and political benefits to major cities in order to ensure their stay in power. e. All of the above

e. All of the above