Latin American Economic Factors

As one of the factors of production/productive resources, capital can be defined as

• the people that purchase goods and services.the people that purchase goods and services.

• the goods and services a business produces.the goods and services a business produces.

• the equipment and factories needed to produce goods.

• the supply of labor needed to produce goods.

Which of these BEST describes the situation in Cuba following the Revolution of 1959?

• Cuba's legal system convicted all revolutionaries for treason.

• Cuba's economy prospered due to increased oil production.

• Cuba became a communist-controlled dictatorship.

• Cuba increased its alliance with the United States.

Based on these figures, which nation would be MOST likely to have the LOWEST standard of living?

• El Salvador

• Ecuador

• Nicaragua

• Brazil

• Uruguay

Using the information on this chart, one can assume that the BEST education system could be found in

• Colombia

• El Salvador.

• Argentina.

• Nicaragua.

Which country has the GREATEST degree of a command economy?

• Canada

• Mexico

• Cuba

• Brazil

To gain some form of protection and leverage, many Latin American drug lords

• move to the United States.

• make alliances with religious officials.

• blackmail poor farmers.

• corrupt law enforcement officials.

Historically, why has the United States restricted trade to Cuba?

• Because the United States did not want the Cubans to flood the American market with Cuban cigars.

• Because of Cuba's communist government and its failed protection of the human rights of Cuban citizens.

• Because Cuba is too close geographically to the United States for competition.

• Because Cuba failed to allow the United States to annex the nation of Cuba after the Spanish American War.

Countries that invest more in human capital usually have higher GDP rates than countries that do NOT because

• more money is spent in only using human intelligence and technology and computers are limited.

• people are focusing on longer work days rather than leisure time so their annual productivity is higher.

• more money is spent on education and training so people produce more and make a higher wage.

• population rates and family size is larger so they have more workers.

• people are expected purchase stocks and bonds for the company they work for.

If Mexico begins to invest in adult educational programs in the manufacturing and production fields, what outcome should Mexico see in regards to economic growth?

• Adults would move to the United States because of NAFTA.

• Economic growth and GDP should slow down.

• Economic growth and GDP should increase.

• There would be no effect upon economic growth nor GDP.

Which statements are true of a free market economy

• People are told what jobs they can have

• People have private property

• Based on supply and demand

• consumers have economic power

• producers have economic power