Less-developed countries are poor for all of the following reasons except one. Which one?
A) They do not produce many goods and services.
B) Labor productivity is low.
C) Investment funds tend to flow abroad
D) Investment in human capital is very low.
E) The labor force is too small.

Question

Quizplus · Accepted Answer

The statement "The labor force is too small" is not a commonly cited reason for underdevelopment in less-developed countries. In fact, many less-developed countries have large labor forces. The other choices (A, B, C, and D) are commonly cited reasons for underdevelopment in less-developed countries.

Less-Developed Countries Are Poor for All of the Following Reasons