The Statement "The Rich Get Richer and the Poor Get

question 235

Multiple Choice

The statement "the rich get richer and the poor get poorer" is evident in the fact that

• A)the earnings gap between high-skill jobs and low-skill jobs has increased over the last several years.
• B)developing countries do not pay workers the value of their marginal product.
• C)developed economies export high-skill jobs to developing countries.
• D)All of the above are correct.

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Definitions:

Human Capital

Human capital is the collective skills, knowledge, or other intangible assets of individuals that can be used to create economic value for the individuals, their employers, or their community.

Existing Technology

The current state of technological development and the tools and processes available for production.

Developing Countries

Countries characterized by their lower industrialization levels, decreased living standards, and a lesser Human Development Index in comparison to developed nations.

Technologically Backward

Description for entities or economies that have not adopted modern technologies or practices, resulting in lower efficiency and productivity.