Which of the following best states economists' understanding of the facts concerning the relationship between natural resources and economic growth?
A)A country with no or few domestic natural resources is destined to be poor.
B)Differences in natural resources have virtually no role in explaining differences in standards of living.
C)Some countries can be rich mostly because of their natural resources and countries without natural resources need not be poor,but can never have very high standards of living.
D)Abundant domestic natural resources may help make a country rich,but even countries with few natural resources can have high standards of living.

Question

Quizplus · Accepted Answer

While natural resources may help a country's economic growth and development, it is not the only factor that contributes to a high standard of living. Countries with few natural resources can still achieve high standards of living through factors such as trade, innovation, and policy initiatives. Therefore, choice D is the best statement that aligns with economists' understanding of the relationship between natural resources and economic growth.

Which of the Following Best States Economists' Understanding of the Facts