A Country with a Relatively Low Level of Real GDP

question 19

Multiple Choice

A country with a relatively low level of real GDP per person is considering adopting two policies to promote economic growth. The first is to increase barriers to trade. The second is to restrict foreign portfolio investment. Which of these policies would most economist think would promote growth?

• A)both the first and the second
• B)the first but not the second
• C)the second but not the first
• D)neither the first nor the second

---

Definitions:

Psychological Needs

Psychological needs refer to the intrinsic, essential desires that motivate behavior and contribute to mental health, such as the need for belonging, esteem, and self-actualization.

Comparison Level

A standard against which one evaluates the attractiveness and satisfaction of a relationship based on prior experiences and societal norms.

Interdependence Theory

The idea that satisfaction, investments, and perceived alternatives are critical in determining commitment to a particular relationship.

EVLN Model

A model representing the four responses employees can have to dissatisfaction at work: Exit, Voice, Loyalty, and Neglect.