The Vicious-Circle-Of-Poverty Hypothesis States That Poor Countries

question 51

Multiple Choice

The vicious-circle-of-poverty hypothesis states that poor countries

• A) are unable to save and invest enough to accumulate capital stock that would help them grow.
• B) cannot develop because they lack the ability to educate their workers.
• C) cannot develop because their economic policies are ineffective.
• D) cannot develop because people don't consume due to lack of goods and services.

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Definitions:

Physical Possession

The actual holding or control of an object, property, or asset by an individual or entity.

Risk Of Loss

The potential for an investment, asset, or transaction to result in a financial loss rather than a gain.

F.O.B. Ocean City

Free on Board Ocean City, a shipping term indicating that the seller is responsible for goods and their cost of transport until they are loaded aboard a vessel at Ocean City.

Destination Contract

A type of contract specifying that the seller is responsible for the goods until they are delivered to a specific destination or address as indicated in the contract.