The Rybczynski Theorem Suggests That Development of New Natural Resources

question 60

Multiple Choice

The Rybczynski theorem suggests that development of new natural resources in a country:

• A)will result in balanced growth.
• B)may cause the country to export only manufactured products.
• C)will increase output in all sectors of the economy.
• D)may cause the manufacturing sector of the country to shrink.

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Definitions:

Compute

To calculate or process using a computer or mathematical operations.

Just-In-Time Manufacturing

A production strategy that strives to improve a business's return on investment by reducing in-process inventory and associated carrying costs, producing goods only as needed.

Days' Sales

A financial metric that calculates the average time it takes for a company to turn its accounts receivable into cash.

Raw Materials Inventory

Items and components stored for future use in the production process, not yet modified or incorporated into a finished product.