Developing countries typically have poorly developed property rights and less social capital designed to promote trust and cooperation in the economy

Costa Rica is a leading exporter of bananas. What explains the comparative advantage of this country in banana production?

A) climate and soil conditions in Costa Rica which are well-suited for banana production B) investment by multinational firms such as Chiquita Brands International and the Dole Food Company C) a large supply of unskilled labor D) positive externalities

In a closed economy, what is the relationship between saving and investment?

A) Saving is greater than investment. B) Investment is greater than saving. C) Investment is equal to saving. D) Investment may be greater or smaller than saving.