Chapter 9 Practice Test

1) The biggest problem faced by less developed countries in financing development is

A) confrontation with more developed countries.
B) identifying unique economic assets.
C) inability to repay loans.
D) promoting self-sufficiency.

C) inability to repay loans.

2) The tertiary sector includes all but which of the following?
A) transportation
B) producer services
C) government
D) construction

D) construction

3) The less developed region with the highest percentage of people living in urban areas is
A) the Middle East.
B) East Asia.
C) South Asia.
D) Latin America.

D) Latin America.

4) The difference in per capita GDP between the more developed and less developed regions is
A) widening.
B) remaining constant.
C) decreasing.
D) zero.

A) widening.

5) In more developed countries, employment is increasing in
A) the primary sector.
B) the secondary sector.
C) the tertiary sector.
D) all three sectors.

C) the tertiary sector.

6) An example of a primary sector activity is
A) education.
B) manufacturing.
C) mining.
D) retailing.

C) mining.

7) Today, European countries obtain raw materials
A) from their abundant supplies.
B) through exploitation of their colonies.
C) through purchase from less developed countries.
D) access to raw materials is no longer important for development in Europe.

C) through purchase from less developed countries.

8) The difference in per capita GDP between the more developed and less developed regions is
A) widening.
B) remaining constant.
C) decreasing.
D) zero.

A) widening.

9) Agricultural output in South Asia each year depends primarily on the
A) arrival of the monsoon.
B) diffusion of miracle seeds.
C) ratio between population and resources.
D) price of jute.

A) arrival of the monsoon.

10) Which of the following is not an indicator of a country’s level of development?
A) infant mortality rate
B) crude death rate
C) age structure
D) natural increase rate

B) crude death rate

11) The large percentage of population involved in agriculture in China indicates that
A) the country imports most of its food.
B) few people are unemployed.
C) most people consume an inadequate amount of calories.
D) most people must produce food for their own survival.

D) most people must produce food for their own survival.

12) The principal asset of the Four Dragons to promote development is
A) Japan’s success.
B) abundant natural resources.
C) low labor costs.
D) all of the above

C) low labor costs.

13) The Middle East shows promise of becoming more developed primarily because of what characteristic?
A) abundant petroleum reserves
B) desert climate
C) Islamic religious principles
D) all of the above

A) abundant petroleum reserves

14) Self-sufficiency policies have encouraged
A) inefficient industries.
B) dismantling of bureaucracies.
C) elimination of government subsidies.
D) destruction of the black market.

A) inefficient industries.

15) Processing of computer information is an example of which sector of the economy?
A) primary
B) secondary
C) tertiary
D) none of the above

C) tertiary

16) Western Europe is distinguished from Anglo-America by its
A) relative lack of raw materials.
B) greater cultural homogeneity.
C) self-sufficiency in raw materials.
D) ability to feed itself without importing food.

A) relative lack of raw materials.

17) Which of the following hinder the international trade strategy for developing countries?
A) increased dependence on more developed countries
B) uneven resource distribution
C) market stagnation
D) all of the above

D) all of the above

18) Since the 1949 Communist victory in the civil war, the Chinese people have been subjected to increasing amounts of all but which of the following?
A) control of agricultural land
B) distribution of food according to need
C) fear of famine
D) government assignment of specific tasks to farmers

C) fear of famine

19) In less developed countries, consumer goods such as telephones, televisions, and motor vehicles are
A) available for sharing by a large number of people.
B) unknown and unfamiliar to most people.
C) essential to rural life.
D) owned by a minority of the people.

D) owned by a minority of the people.

20) Development prospects are limited in Sub-Saharan Africa because of all but which of the following?
A) colonial legacy
B) poor leadership
C) capacity of land to produce food
D) lack of monsoon rains

D) lack of monsoon rains

21) The major asset of the Eastern European region is
A) agricultural productivity.
B) development of basic industries.
C) production of consumer goods.
D) abundant reserves of many raw materials.

D) abundant reserves of many raw materials.

22) To finance development, less developed countries
A) borrow from commercial banks.
B) build new infrastructure projects.
C) identify unique economic assets.
D) promote self-sufficiency.

A) borrow from commercial banks.

23) According to Rostow’s development model, the process of development begins when
A) a high percentage of national wealth is allocated to nonproductive activities.
B) an elite group initiates innovative activities.
C) take-off industries achieve technical advances.
D) workers become more skilled and specialized.

B) an elite group initiates innovative activities.

24) Compared to less developed countries, more developed countries have higher rates of all but which of these educational characteristics?
A) percentage of GDP spent on education
B) literacy rate
C) number of teachers per pupil
D) number of years attending school

A) percentage of GDP spent on education

25) In 1995, the per capita GDP in Sudan was about $400; this indicates that it is a
A) petroleum exporting state.
B) less developed country.
C) more developed country.
D) country with a high gross domestic product.

B) less developed country.

26) Population was traditionally low in Southeast Asia because of
A) dry climate.
B) inhospitable environment.
C) Dutch colonial activity.
D) high arithmetic density.

B) inhospitable environment.

27) Correlating economic, social, and demographic indicators of development shows that
A) different indicators of development are associated with each other.
B) a more developed country is likely to rank among the top ten in all major development indicators.
C) a less developed country can see which indicators need improvement.
D) economic, social, and demographic characteristics do not in reality coincide with each other.

A) different indicators of development are associated with each other.

28) People are more productive in more developed countries because they
A) work harder.
B) have access to more technology.
C) have a higher value added per person.
D) are better educated.

B) have access to more technology.

29) In contrast to the international trade approach, the self-sufficiency approach to development
A) begins when an elite group initiates innovative activities.
B) results in uneven resource development.
C) suffers from market stagnation.
D) spreads investment through all sectors of the economy.

D) spreads investment through all sectors of the economy.

30) Japan’s principal asset for promoting development was
A) a favorable ratio of population to resources.
B) an abundant supply of labor.
C) high physiological density.
D) extensive supplies of critical raw materials.

B) an abundant supply of labor.

31) The highest level of development within Latin America is found in
A) Central America.
B) Caribbean islands.
C) interior South America.
D) southern South America.

D) southern South America.

32) According to the international trade approach to development, a country should identify all but which of its following assets?
A) abundant agricultural products
B) high quality manufactured goods
C) imports to be limited
D) low cost distribution networks

C) imports to be limited

33) Compared to more developed countries, less developed countries typically have all but which of the following characteristics?
A) higher crude birth rates
B) lower dependency rates
C) higher percentage of children under age fifteen
D) lower percentage of elderly

B) lower dependency rates

34) The principal benefit of the self-sufficiency approach is to promote
A) balanced growth of all economic sectors.
B) global competitiveness for local industries.
C) the maintenance of a large bureaucracy.
D) unequal distribution of resources.

A) balanced growth of all economic sectors.

35) Compared to more developed countries, less developed countries have a higher percentage of workers in which sector of the economy?
A) primary
B) secondary
C) tertiary
D) all three sectors

A) primary

36) In recent years, countries such as India have
A) embraced the international trade model.
B) raised taxes on imports.
C) required licenses for importers.
D) embraced the self-sufficiency approach.

A) embraced the international trade model.

Compared to a less developed country, is a more developed country likely to have a higher or lower level for each of these development indicators?
________ infant mortality rate

lower

Compared to a less developed country, is a more developed country likely to have a higher or lower level for each of these development indicators?
telephones per capita

higher

Compared to a less developed country, is a more developed country likely to have a higher or lower level for each of these development indicators?
percent engaged in agriculture

lower

Compared to a less developed country, is a more developed country likely to have a higher or lower level for each of these development indicators?
percent illiterate

lower

Compared to a less developed country, is a more developed country likely to have a higher or lower level for each of these development indicators?
GDP per capita

higher