Political instability is an impediment to development mainly because it:
A. undermines both domestic and foreign investment in a developing country.
B. creates cultural and social differences among groups in developing countries.
C. produces excessive levels of domestic saving.
D. redistributes income.
Answer: A
You might also like to view...
Of all financial intermediaries, which of the following holds the most assets?
A) hedge funds B) the federal government C) commercial banks D) corporations
With respect to international trade, specialization means that
A. each country consumes what it produces. B. labor is exported or imported in much the same way as other products. C. most goods and services that are traded internationally are produced in only 1 or 2 nations. D. labor and other resources in a nation are used to produce the products and services for which they are best suited.