Africa's Economy

How has Nigeria's decision about investing capital goods affected many of those who live in Nigeria?

• All Nigerian children can have a free high school education.

• Most people in Nigeria are prosperous because of oil wealth.

• Nigerians have had to go back to the gold and salt trade to make a living.

• Concentration on the oil industry has left Nigerians without proper food and housing.

Why does South Africa have a high unemployment rate?

• The government has not provided free public education.

• South Africa's industries use foreign workers and the local people are unable to find jobs.

• Many of the black workers still feel the effects of the apartheid system.

• All of the mines have shut down and no one is hiring.

If a country invests in human capital, its GDP will most likely go down.

• True

• False

What are "conflict diamonds"?

• diamonds that make couples fight

• diamonds sold to fund wars and rebellions

• stolen diamonds

• diamonds that may or may not be real

Which African country has a high literacy rate, natural resources and invests in both human capital and capital goods?

• Nigeria

• South Africa

• Kenya

• Mali

Kenya has not invested in capital goods because

• it has an economy based on services.

• its economy is based on agriculture.

• it has many natural resources.

• it doesn't need to.

Countries with a higher GDP usually have a ______________________ standard of living.

• weaker

• higher

• lower

• smaller

How do tariffs help countries that use them?

• They make imported products would be more popular.

• Local producers would sell less because their products would be more expensive.

• They make people want to buy imported products.

• Local producers would be able to sell their products because they would be cheaper than imported products.

A type of economy in which individuals own their own businesses and make all of their own decisions would be

• traditional

• market

• command

A type of economy in which all economic decisions are made by the government would be

• traditional

• market

• command