Which of the Following Is NOT an Important Factor in Establishing

question 12

Multiple Choice

Which of the following is NOT an important factor in establishing high growth in GDP per capita for a country?

• A)a stable monetary growth rate
• B)a high savings rate
• C)low population growth
• D)a predictable economic and political environment
• E)policies to encourage industries to compete in world markets

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Definitions:

Anchoring Bias

A cognitive bias where an individual depends too heavily on an initial piece of information (the "anchor") when making decisions.

Escalating Commitment

A behavioral pattern where an individual or organization continues to follow a failing course of action due to emotional attachment or the desire to justify prior investments.

Heuristics

Mental shortcuts or rules of thumb that simplify decision making by reducing complex problem-solving to simpler judgment processes.

Cost-benefit Impact

An assessment that compares the costs involved in an action to the benefits derived from it, used to determine its overall value and feasibility.