People in Poor Countries May Have Difficulties Achieving Economic Growth

question 198

Multiple Choice

People in poor countries may have difficulties achieving economic growth because:

• A) their production possibilities curves slope upward instead of downward.
• B) they must cut back on current consumption to increase capital goods.
• C) they have a solid consumption base already in place.
• D) their resource bases are fully developed.
• E) the law of increasing costs makes it hard to produce more goods.

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Definitions:

Closely Held Corporations

Corporations that have a limited number of shareholders and whose shares are not publicly traded.

Foreign Corporations

Entities incorporated under the laws of a foreign country that do business in another country.

Alien Corporations

Companies that are registered and operating in a country different from where they were originally incorporated.

Private Corporations

Companies that do not offer or trade their company stock (shares) to the general public on the stock market but rather the stock is offered, owned, and traded or exchanged privately.