Successful Foreign Aid Programs

question 26

Multiple Choice

Successful foreign aid programs

• A) enhance a DVC's resources and therefore shift its production possibilities curve to the left.
• B) enhance a DVC's resources and therefore shift its production possibilities curve to the right.
• C) move the DVC from a high-investment-low-consumption position to a low-investment-high- consumption position on its stable production possibilities curve.
• D) cause a DVC's exchange rate to depreciate.

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Definitions:

Pearson's Correlation Coefficient

A measure of the strength and direction of a linear relationship between two continuous variables, computed as the covariance of the variables divided by the product of their standard deviations.

Ordinal

A term referring to a type of data or a scale of measurement where items are ranked in order but the differences between rank positions are not necessarily equidistant.

Partial Correlation

A measure of the degree of association between two variables while holding one or more other variables constant.

Third Variable

An unmeasured variable that may influence or confound the relationship between the two variables of interest in a study.