IB Development Economics - Institutional factors

Which of these factors are true about how education lead to economic development?

• Education lead to better living standards

• Education improves of the role of women in society

• All of these

• Education increases awareness and communication, leading to social change

Who spends a higher part of GDP on healthcare, leading to development?

• Australia

• Syrian Arab Republic

• Ghana

• Brazil

What is NOT a possible positive externality on development generated by insfrastructure?

• Children can get to school becasue of an increase in roads and road quality.

• Sewage and water treatment facilities increasing the health of the workforce.

• Firms gain higher profits.

• It helps farmers gain access to larger markets and hence, more profit.

Which of these is not a cause of corruption?

• Reduced trust

• Unfair reallocation of resources

• Corrupt officials

• Improved legal system

Which factor related to a functioning legal system compromises development?

• Inflation

• Proporty rights

• Unemployment

• None of the above

Who are the main recipients for micro-credit?

• Rich women

• Poor men

• Poor children

• Poor women

• All of the above

What is usually the main source of tax revenue for developing countries' government?

• Income Tax

• Corporate Tax

• Export and Import Tax

• Progressive Tax

• Inheritance Tax

Which of the following countries could face development adversities if suddenly its economy received state-of-the-art technology ...

• USA

• Japan

• Canada

• Korea

• Kenya

Which of these is not a benefit derived from the empowerment of women

• Women receive greater incomes

• Greater and more productive workforce

• Greater enrollment in primary education

• Improvements in the financial system

• Improvements in health

How does high income inequality serve as a barrier for growth?

• All the two

• Low savings

• Leakages from rich people buying imported goods