We Know That Resources Are Important for Economic Growth

question 5

Multiple Choice

We know that resources are important for economic growth.Which of the following statements about resources is true?

• A) All resources are ultimately man-made,because without their use by people,resources would have no value.
• B) Very few resources are truly scarce; in fact,most exist in abundance.
• C) Resources can be natural,like mineral deposits or forests,or man-made,like machinery and factories.
• D) All countries have the same endowments of resources.
• E) Most countries do a very poor job of exploiting the resources they have.

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Definitions:

Net Exports

The difference between a nation's total exports and its total imports.

Net Capital Outflow

A comparison between the activity of local investors buying abroad and foreign investors buying within the national borders.

Soccer Tournament

A competitive series of soccer games where teams compete to determine a champion.

Real Exchange Rate

The rate at which two currencies can be exchanged after adjusting for inflation differentials, reflecting the purchasing power of one currency in terms of goods and services.