According to the text, as compared to rich countries, most of the poor countries do not fare well because: a. they have no oil. b. the people in these
... [Show More] countries have limited property rights. c. access to education in these countries is very limited. d. high tariffs in these countries prevent international trade. e. they do not have any natural resources.Test bank for Macroeconomics, 10th Edition - William Boyes.2. _____ is the primary reason that explains why some nations are richer than the others. a. A democratic government b. A strong judicial system c. Access to education d. Private ownership e. A stable currency. In spite of having no natural resources, a country like _____ was able to make itself one of the wealthiest countries in the world because it allowed private ownership. a. India b. Poland c. Hungary d. Hong Kong e. China4. It can be said that ____ laid the foundation for the Industrial Revolution. a. the discovery of the Americas b. private property rights c. the invention of the cotton gin d. the discovery of gold e. the development of a strong judicial system ANSWER: b 5. Private property rights are important because: a. they create incentives for people to improve their standard of living. b. the Constitution says so. c. they allow students to choose their major field of study in college. d. an economy cannot function without them. e. goods cannot be produced without them. ANSWER: a download full file at http://testbankeasy.com Full file at http://testbankeasy.eu/Test-bank-for-Macroeconomics,-10th-Edition--- William-Boyes 6. GDP per capita is one way to measure an economy's growth. China and India began to progress when they allowed private ownership, around ____. Since then, there has been steady, strong growth in these economies. a. 1960 b. 1970 c. 1980 d. 1990 e. 2000 ANSWER: d 7. Overfishing and extinction of species arise because of: a. an abundance of natural resources. b. communist countries. c. the lack of incentive to take care of these species. d. private ownership of these resources. e. a high degree of economic freedom in all countries. ANSWER: c 8. Sonia works at a restaurant where tips are pooled and divided equally. Anna works at a different restaurant where she keeps the tips her customers leave for her. Which of the following is true? a. Both work equally hard because their hourly wage from the employer is low, and they can make up for this with tips. b. Sonia works harder, because she receives the same amount of tips as other workers. c. Anna works harder, because she works at an expensive restaurant. d. Anna works harder, because her tips are her private property. e. Neither of them has an incentive to work hard because tips are a small part of their earnings. ANSWER: d 9. Villagers in Xiaogang, China, produced more rice than those in surrounding villages because: a. they had better farmland. b. they were given better seeds. c. they were able to keep the output they produced individually. d. they made each family responsible for a certain, higher quota of rice production. e. they had common ownership over the rice produced. ANSWER: c 10. In 1981, in San Francisco Solano, Argentina, about 1,800 families took over a piece of wasteland. The government was able to deed 60 percent of this land to some families while the remaining part could not be deeded. The resulting houses varied greatly, based on whether the residents received title. Those who received title also behaved differently, having fewer children, and the children experienced more education and better health. This is an example of the results from: a. scarcity. b. economic growth. download full file at http://testbankeasy.com Full file at http://testbankeasy.eu/Test-bank-for-Macroeconomics,-10th-Edition--- William-Boyes c. economic freedom. d. private property rights. e. improved quality of life. ANSWER: d 11. One of the reasons communism failed was because: a. governments ran out of money. b. workers received the same pay whether or not they worked hard. c. there was no unemployment. d. Mao Zedong passed away. e. technological improvements were impossible in a communist economy. ANSWER: b 12. The economist Hernando de Soto extensively studied: a. the problem of scarcity. b. opportunity costs. c. insecure property rights. d. economic freedom in rich countries. e. the sources of comparative advantage in trade. ANSWER: c 13. A piece of land is divided between John and Mary. However, only John gets the title to his share of land. Which of the following is true? a. Both Mary and John will not take care of their lands. b. Mary will have a higher per capita output from her piece of land. c. John will not be able to rent out a portion of his land. d. Mary will have a greater incentive than John to invest in her piece of land. e. John will be able to use his land as collateral for a loan from a bank. ANSWER: e 14. Economic freedom: a. is the right to own property. b. means not having to pay taxes. c. is absent in rich countries. d. affects only poor people. e. is the ability to engage in voluntary trade. ANSWER: e 15. Which of the following would economic freedom lead to? a. A higher standard of living d [Show Less]