Which of the following is true?
a. In low-income countries, less than 5 percent of those 15 and older were illiterate in 2007
b. In middle-income countries, 17 percent of those 15 and older were illiterate in 2007
c. In high-income countries, 38 percent of those 15 and older were illiterate in 2007
d. Education bears little relationship to economic development in high income countries
e. Education is more important to the economic development of low income countries than it is to high income countries
B
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You hire some of your friends to help you move to a new house. You pay them a total of $200 and buy them dinner at Pizza Hut. Which of the following is true?
A) Hiring your friends is an illegal activity and should not be counted in GDP. B) Neither the $200 nor the dinner should be counted in GDP because both are household production. C) The dinner at Pizza Hut should be counted as part of GDP, but not the $200. D) The $200 should be counted as part of GDP but not the dinner at Pizza Hut. E) If your friends do not report the $200 on their tax forms, it becomes part of the underground economy.
Despite the long-term mutual gains from international trade, in the short run
A. particular firms, industries, and groups of workers can be harmed substantially by imports. B. international trade is usually inflationary. C. countries must learn to be self-sufficient. D. most countries realize mutual net losses.