What Is the Main Reason That Public-Sector Investment Spending Plays

question 63

Multiple Choice

What is the main reason that public-sector investment spending plays a larger role in developing countries than in industrial countries?

• A) Most governments in developing countries are Communist.
• B) Businesses of developing countries invest all their money abroad.
• C) Hyperinflation prevents any private investment in developing countries.
• D) There is a larger percentage of state-owned enterprises in developing countries.
• E) Most developing countries suffer from large government deficits, which cause complete crowding out of private investment.

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Definitions:

Positive To Negative

Refers to the flow of conventional electric current from a point of higher potential (positive) to a point of lower potential (negative).

Negative To Positive

Describes the direction of flow of electrons in an electrical circuit, from a more negative point to a more positive point.

Lightning Protection

Systems or devices designed to protect structures and equipment from damage by directing lightning surges safely to the ground.

Grounded

Refers to a direct physical connection to the earth in an electrical system, used for safety and stability of the system.