Some Low-Income Countries Generally Remain Poor Because

question 54

Multiple Choice

Some low-income countries generally remain poor because

• A) their institutional arrangements and policies often discourage productive activity and reduce the potential gains from specialization and exchange.
• B) they are oppressed by developed nations that benefit from the cheap goods available from countries with low wage rates.
• C) they are poorly endowed with natural resources, which are essential for long-term growth.
• D) when the average income level is low, workers have little incentive to earn higher incomes.

---

Definitions:

Predicting Happiness

The process of forecasting one's future emotional state of well-being and contentment.

Predicting Miserable

The act of forecasting or expecting a state of extreme unhappiness or discomfort.

Approach-Approach Conflict

A psychological conflict that occurs when an individual must choose between two desirable outcomes or goals.

Approach-Avoidance Conflict

A psychological conflict that occurs when a goal or situation has both positive and negative aspects that make the goal appealing yet repelling at the same time.