A positive aspect of migration out of developing countries is

A positive aspect of migration out of developing countries is
 
  a. reduced population growth
  b. remittances to developing countries
  c. increased agricultural productivity
  d. increased foreign aid
  e. all of the above

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Question 2 - Limits on a country's ability to use aid effectively are referred to as its
 
  a. absorptive capacity
  b. bilateral aid
  c. conditionality
  d. grant element
  e. none of the above

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Question 3 - If a currency is allowed to move freely until it violates economic fundamentals, that currency is said to have
 
  A) a managed float.
  B) a free floating system.
  C) a currency board.
  D) a stable basket.

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Question 4 - An individual's demand for education is most affected by
 
  (a) direct and indirect costs of schooling.
  (b) development priorities of the country.
  (c) the desire to escape agricultural work.
  (d) all of the above.

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Question 5 - What economic variables would you need to consider in order to distinguish between a developing country with a short-term balance of payments problem and one in a debt crisis? Explain what data you would need to look at and why.
 
  What will be an ideal response?

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Question 6 - What are the major factors that a country should weigh in deciding whether a particular foreign investment should be permitted?
 
  What will be an ideal response?