One Explanation for Greater Economic Development in Moderate Versus Tropical

question 39

Multiple Choice

One explanation for greater economic development in moderate versus tropical climates is that institutions established by colonial settlers in moderate climates ______, while institutions established by colonists in tropical climates ______.

• A) were based on English common law; were based on the Napoleonic Code
• B) were based on the Napoleonic Code; were based on English common law
• C) protected property rights; were extractive and authoritarian
• D) were extractive and authoritarian; protected property rights

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Definitions:

Earnings Per Share

A measure of a company's profitability calculated by dividing net income by the number of outstanding shares of its common stock.

Net Income

The total profit of a company after all expenses, including taxes and operating expenses, have been deducted from total revenue.

Preferred Dividends

Dividends that are paid out to preferred shareholders before any dividends are distributed to common shareholders, often at a fixed rate.

Market Price

The current price at which an asset or service can be bought or sold in a particular marketplace.