Question 1

In the 1970s,which of the following was seen as a challenge to the Keynesian model of economic development?
A) a lack of government services
B) high inflation and stagnant economies
C) an anticorporate business climate
D) low interest rates

Accepted Answer

The high inflation and stagnant economies of the 1970s were seen as a challenge to the Keynesian model of economic development, which emphasized government intervention and spending to stimulate economic growth. The stagflation of the 1970s, in which both inflation and unemployment rates were high, led to a questioning of the effectiveness of Keynesian policies and the need for alternative economic models.

Question 2

Janeen asserts that neoliberal policies have benefited Country X and its citizens,basing her argument on the economic success indicators of the country.Joseph posits that neoliberal policies have led to the deterioration of Country X,with citizens experiencing the detrimental effects of air pollution,water pollution,and increased crime and violence.What is the basis for Joseph's argument?
A) ecological indicators
B) inequality indicators
C) development indicators
D) quality-of-life indicators

Accepted Answer

Joseph's argument is based on quality-of-life indicators, as he mentions air pollution, water pollution, and increased crime and violence, which directly affect the well-being and quality of life of the citizens.

Question 3

Samir always struggled to make enough money for his family to live on and was aware of wealth differences,especially when he compared himself to Evelyn,the owner of the factory where he worked.However,in the 1970s,he became aware that the gap between himself and Evelyn was growing.In addition to transnational corporations and technological advancements,what factor added to the widening income gap?
A) the introduction of neoliberal policies
B) the introduction of development policies
C) the introduction of poverty measures
D) the introduction of social policies

Accepted Answer

The introduction of neoliberal policies in the 1970s led to the deregulation of industries and reduced government intervention, allowing for greater accumulation of wealth by the elite and further widening the income gap.

Question 4

According to Jared Diamond,historically,which factor can account for uneven development around the world?
A) underdeveloped nations coming into contact with colonizers having superior technology
B) developed nations having values consistent with production,competition,and profit
C) early domestication of plants and animals,geographic factors,resistance to disease
D) early evolution of writing,astronomical insights,and mathematical accounting

Accepted Answer

In his book "Guns, Germs, and Steel," Jared Diamond argues that historical factors such as the early domestication of plants and animals, geographic factors, and resistance to disease can account for uneven development around the world. This is because societies that were able to successfully domesticate plants and animals had a more stable food supply, which allowed for increased population growth and the development of complex societies. Additionally, geographic factors such as access to natural resources and trade routes played a role, as did resistance to disease, which allowed some societies to maintain a larger population and more developed culture. Diamond argues that these factors ultimately led to the uneven development of societies around the world. The other options may have played a role in the development of some societies, but are not as overarching as the factors outlined in option C.

Question 5

What was a consequence of Milton Friedman's market principles for the Global South?
A) Because of these principles,markets in these economies saw unprecedented growth.
B) The gap between the rich and the poor in the developing world decreased significantly.
C) Major capital projects commenced,such as the building of dams for hydroelectric power.
D) Interest on loans made to these countries soared beyond their ability to pay.

Accepted Answer

One of the consequences of Milton Friedman's market principles for the Global South was that interest on loans made to these countries soared beyond their ability to pay. This resulted in a significant amount of debt for these countries, which had negative economic and social impacts.

Question 6

Which one of the following conditions was part of structural adjustment programs (SAPs)?
A) Countries with emerging economies were ordered to strictly regulate their growth.
B) Developing countries were required to free up land for peasants to grow food.
C) The IMF would help developing countries if they privatized state-run businesses.
D) Needy countries had to limit assistance from aid organizations such as the Red Cross.

Accepted Answer

The International Monetary Fund (IMF) would assist developing countries if they agreed to privatize state-run businesses as part of structural adjustment programs (SAPs). This was done in order to promote free market policies and attract foreign investment. Option A and Option B are not accurate because the purpose of SAPs was to encourage economic growth, not restrict it. Option D is not accurate because SAPs did not restrict assistance from aid organizations.

Question 7

When did development as an idea transform into development as a project?
A) at the time of industrialization in England
B) throughout the Great Depression
C) following World War II
D) during the Great Recession

Accepted Answer

Development as a project emerged following World War II, with the introduction of the Marshall Plan and other international development efforts. This marked a shift from viewing development as a general concept to implementing specific projects and programs aimed at promoting economic growth and social progress in developing countries.

Question 8

How have countries such as Argentina,Ecuador,Venezuela,Bolivia,and Brazil worked on their economic development goals?
A) by following neoliberalist policies and planning
B) by creating free markets with little or no regulation
C) by assisting landless peasants and the rural poor
D) by relying heavily on the World Bank and the IMF

Accepted Answer

Countries such as Argentina, Ecuador, Venezuela, Bolivia, and Brazil have worked on their economic development goals by assisting landless peasants and the rural poor. This approach has been known as agrarian reform, which aims to distribute land more equitably and empower rural communities. These countries have also implemented social programs to reduce poverty and inequality, such as cash transfer programs and free healthcare and education. This approach is different from neoliberalism, which emphasizes free markets with little government intervention or regulation, and relying heavily on the World Bank and the IMF.

Question 9

Paulo lives in Venezuela and is going to vote in the federal election today.What stance on economic policies is his candidate likely to have?
A) The candidate will support neoliberalism.
B) The candidate will oppose neoliberalism.
C) The candidate will promote free trade agreements.
D) The candidate will encourage increased borrowing from the World Bank.

Accepted Answer

Given that Paulo lives in Venezuela, it is unlikely that his candidate would support neoliberalism. Venezuela strongly opposes neoliberal economic policies and advocates for state control over key industries. Therefore, it is safe to assume that Paulo's candidate is likely to oppose neoliberalism.

Question 10

Tatiana lived in Mexico between 1950 and 1970.When telling her children about her experience growing up in Mexico,what would she be saying to them?
A) It was a time when there was very little poverty.
B) The rich were getting richer,and the poor were getting poorer.
C) The country was so poor that everyone was impoverished.
D) Neoliberal policies were responsible for decreasing the gap between the rich and the poor.

Accepted Answer

This choice best reflects the economic and social conditions of Mexico during the time Tatiana lived there. The 1950s and 1960s were marked by significant economic inequality, with the wealthy minority benefiting from government policies while the majority of the population struggled to make ends meet. While poverty rates did decline slightly during this time, it was still pervasive throughout the country. Neoliberal policies, which prioritize free-market economics and privatization, did not become popular in Mexico until the 1980s and 1990s.

Question 11

The "Asian Tigers" (South Korea,Taiwan,and Singapore)have experienced rapid growth and industrialization in recent decades.Which statement best explains their successful development?
A) They followed neoliberal policies.
B) They established large export-processing zones.
C) They had strict,state-led,economic regulation of capitalism.
D) They were not all that different from Western industrialized countries.

Accepted Answer

The "Asian Tigers" experienced rapid growth through state-led economic strategies, including government intervention, strategic industrial policies, and investment in education and infrastructure, rather than purely neoliberal policies.

Question 12

Although more people in India might have higher incomes as a consequence of neoliberalism,which aspects of living are not captured by economic indicators of well-being?
A) individual values about consumerism
B) how inflation affects buying power
C) regional differences in real-estate costs
D) issues such as security and air quality

Accepted Answer

Economic indicators of well-being do not capture aspects of living such as security and air quality. These factors are important for people's overall well-being and cannot be measured solely by economic indicators. Inflation, regional differences in real-estate costs, and individual values about consumerism may affect people's economic well-being, but they do not necessarily reflect their overall well-being.

Question 13

Which of the following organizations would support the neoliberal perspective on development?
A) the IMF and the World Bank
B) disaster relief organizations
C) micro-credit organizations
D) fair-trade organizations

Accepted Answer

The IMF (International Monetary Fund) and the World Bank are both international organizations that support neoliberal policies, which advocate for free markets, privatization, and deregulation in order to promote economic growth and development.

Question 14

According to Paul Bairoch,when did the Global South begin to experience deindustrialization?
A) between 1830 and 1860
B) between 1870 and 1900
C) between 1910 and 1940
D) between 1950 and 1980

Accepted Answer

Paul Bairoch argues that the Global South began to experience deindustrialization between 1830 and 1860, a period that coincides with the height of European colonial expansion and the early stages of the Industrial Revolution in the West. This process was partly due to the imposition of free trade on these regions and the competitive advantage of industrialized European goods.

Question 15

Amy's grandparents experienced the Great Depression of the 1930s and share with her the challenges they endured at a time when the unemployment rate was 30 percent.Which approach do her grandparents believe to be the best for the economic development of a country?
A) private market solutions
B) neoliberal policies
C) trade deregulation
D) government intervention in the market

Accepted Answer

Amy's grandparents likely believe that government intervention in the market is the best approach for economic development, given their experience during the Great Depression. This could include interventions such as job creation programs, increased regulation of the financial sector, and targeted investments in infrastructure and social programs to stimulate economic growth and mitigate the impacts of economic downturns. Private market solutions and neoliberal policies, which prioritize free markets and deregulation, may be perceived as insufficient to address the systemic issues that contribute to economic inequality and instability. While trade deregulation may promote economic growth in some sectors, it can also exacerbate economic vulnerabilities and widen income gaps, which may be particularly concerning to individuals who experienced the devastation of the Great Depression.

Question 16

The government of Country X is fighting a popular rebellion against the president's oppressive policies.The United States is sending military aid to the government because of its economic interests in Country X.According to the text,how could this situation influence development in the country?
A) Military aid accelerates it because peace is needed for economic development.
B) Military aid stifles it because war takes attention away from economic development.
C) Military aid has no effect on economic development.
D) Military aid offers only marginal assistance for economic development.

Accepted Answer

Military aid in a situation of conflict can divert resources and attention away from economic development, leading to a stifling effect on development. Additionally, the presence of foreign military aid may also create an uncertain and unstable environment that could deter foreign investment, further hindering economic growth.

Question 17

What is the ratio of the richest five percent compared with the poorest five percent of world citizens?
A) 105 to 1
B) 135 to 1
C) 165 to 1
D) 195 to 1

Accepted Answer

The ratio of the richest five percent compared with the poorest five percent of world citizens is approximately 165 to 1, reflecting significant global income inequality.

Question 18

Policies associated with neoliberalism have succeeded in some places.Where has some success been acknowledged in a limited sense?
A) Mexico,India,and China
B) Indonesia,Thailand,and Vietnam
C) Argentina,Bolivia,and Uruguay
D) Uruguay,Paraguay,and Venezuela

Accepted Answer

Mexico, India, and China have all experienced some success with neoliberal policies, such as increased economic growth and reduced poverty.

Question 19

When did inequality between the rich and the poor decrease as a result of Keynesian policies?
A) 1920s-1930s
B) 1930s-1960s
C) 1970s-1980s
D) 1990s-2000s

Accepted Answer

The answer of When did inequality between the rich and...

Question 20

What kind of analysis is the following: "Plundering of the Global South was facilitated by the elite class of the metropolitan areas colluding with the elites of south"?
A) Marxist
B) neoliberal
C) Keynesian
D) modernization

Accepted Answer

This statement reflects a Marxist analysis, focusing on class struggle and the exploitation of one group by another, particularly in the context of global economic relations.

Quiz 10: Development and Underdevelopment

In the 1970s,which of the following was seen as a challenge to the Keynesian model of economic development?

According to Jared Diamond,historically,which factor can account for uneven development around the world?

What was a consequence of Milton Friedman's market principles for the Global South?

Which one of the following conditions was part of structural adjustment programs (SAPs) ?

When did development as an idea transform into development as a project?

How have countries such as Argentina,Ecuador,Venezuela,Bolivia,and Brazil worked on their economic development goals?

Paulo lives in Venezuela and is going to vote in the federal election today.What stance on economic policies is his candidate likely to have?

Tatiana lived in Mexico between 1950 and 1970.When telling her children about her experience growing up in Mexico,what would she be saying to them?

The "Asian Tigers" (South Korea,Taiwan,and Singapore) have experienced rapid growth and industrialization in recent decades.Which statement best explains their successful development?

Although more people in India might have higher incomes as a consequence of neoliberalism,which aspects of living are not captured by economic indicators of well-being?

Which of the following organizations would support the neoliberal perspective on development?

According to Paul Bairoch,when did the Global South begin to experience deindustrialization?

Amy's grandparents experienced the Great Depression of the 1930s and share with her the challenges they endured at a time when the unemployment rate was 30 percent.Which approach do her grandparents believe to be the best for the economic development of a country?

The government of Country X is fighting a popular rebellion against the president's oppressive policies.The United States is sending military aid to the government because of its economic interests in Country X.According to the text,how could this situation influence development in the country?

What is the ratio of the richest five percent compared with the poorest five percent of world citizens?

Policies associated with neoliberalism have succeeded in some places.Where has some success been acknowledged in a limited sense?

When did inequality between the rich and the poor decrease as a result of Keynesian policies?

What kind of analysis is the following: "Plundering of the Global South was facilitated by the elite class of the metropolitan areas colluding with the elites of south"?