Suppose that Midwestern corn farmers, distraught at decreased sales of their corn due to discounted corn imported from Mexico, lobby their Senator for a bill that requires all
corn served on U.S. military bases to be bought from American farmers at a guaranteed minimum price. This is an example of _____. a. rent-seeking
b. securitization
c. economic overheating
d. a distributional problem
Q. 2Which of the following is a common strategy to cool down the effects of inflation?
a. Printing additional money
b. Lowering interest rates for lenders
c. Increasing government employment
d. Removing currency from circulation
Q. 3Which statement best explains why clear land ownership records are important to economic growth?
a. Record-keeping requirements create job opportunities in government bureaucracies.
b. Money spent resolving property disputes is a major financial drain on the government budget.
c. It is difficult for people to sell or borrow against their land unless they can prove it is legally their property.
d. Becoming a real estate developer is a common way for people in developing countries to rise out of poverty.
Q. 4When a developing nation decides to prioritize economic growth above all else, which of the following problems are most likely to worsen?
a. air pollution
b. urban poverty
c. election fraud
d. natural disasters
Q. 5Which statement explains why most nations in North America, East Asia, and Western Europe are labeled as developed?
a. These nations have nearly used up all of their natural resources
b. These nations are unlikely to get any wealthier
c. These nations have created the environment needed for sustained growth
d. These countries have shifted from domestic growth to a focus on globalization
Q. 6People in poor communities tend to be much ______ on average than people in rich communities.
a. healthier
b. heavier
c. older
d. shorter
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