Which of the following would be most likely to improve the standard of living of a less-developed country?
a. Development of strong labor unions.
b. More foreign investment, attracted by the expectation of economic and political stability.
c. Adoption of trade barriers (higher tariffs and quotas).
d. Widespread use of price controls to allocate goods and resources.
Answer: b. More foreign investment, attracted by the expectation of economic and political stability.
You might also like to view...
Bananaland produces only bananas and sunscreen and the quantities and prices for 2012 and 2013 are given in the table above. The base year is 2012. Nominal GDP in 2012 is equal to
A) $500. B) $625. C) $640. D) $800. E) $100.
How did the U.S. government make the American public have confidence in the nation's currency in the 1870s?
(A) The government permitted state-chartered banks to issue currency. (B) The government established the First Bank of the United States. (C) The government backed the currency with cotton. (D) The government adopted the gold standard.