Dissatisfaction with Both the Purchasing Power Parity (PPP)and Conversions Using

question 12

Multiple Choice

Dissatisfaction with both the purchasing power parity (PPP) and conversions using official exchange rates caused the World Bank to adopt what methodology to derive per capita GNI estimates?

• A) Gini coefficients.
• B) Atlas conversion factors.
• C) The inflation-growth coefficient.
• D) The Zurich formula.
• E) The Human Development Index.

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Definitions:

Incentive

An incentive is a motivational factor or reward that encourages an individual or group to perform certain actions or behaviors, widely used in economics, business, and psychology to influence decisions.

Unemployed

A term describing individuals who are capable of working, actively seeking work, but unable to find a job.

Full Employment

A situation in which all available labor resources are being used in the most efficient way possible, implying minimal involuntary unemployment.

Economic Goal

Objectives that societies or governments aim to achieve to ensure long-term sustainable prosperity.