Which of the Following Policies Will NOT Contribute to Economic

question 88

Multiple Choice

Which of the following policies will NOT contribute to economic development in an LDC?

• A)Pursue economic stability
• B)Promote capital accumulation through tax incentives
• C)Provide social infrastructure
• D)Promote efficiency
• E)Pursue policies designed to increase birth rates

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Definitions:

Acquisition Differential

The difference between the cost of acquiring a company and the sum of the fair market values of the identifiable assets acquired minus liabilities assumed.

Equity Method

An accounting technique used to record investments in other companies, where the investment is initially recorded at cost and adjusted thereafter for the investor's share of the investee's net income or loss.

Patents

Intellectual property rights granted to an inventor, providing exclusive rights to use, sell, or manufacture the invention for a certain period.

Equipment

Tangible personal property used in operations, such as machinery or office hardware, that is not intended for sale.