1/7/25, 4:25 AM Chapter 21 - Notes
Principles of Microeconomics, 11e -TB1 (Case/Fair/Oster)
Chapter 21 Economic Growth in Developing and Transitional Economies
21.1 Life in the Developing Nations: Population and Poverty
1) Chronic food shortages, explosive population growth, and hyperinflations are problems facing
A) industrial countries.
B) first world countries.
C) developing countries.
D) developed countries.
Answer: C
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
2) In developing countries,
A) financial markets are well developed.
B) central banks are effective in controlling the macroeconomy.
C) labor productivity in agriculture is high.
D) infant mortality is high.
Answer: D
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
3) In 2006, per capita income was roughly ________ times lower in low-income countries than
in high-income countries.
A) 12
B) 31
C) 56
D) 181
Answer: C
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
1
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,1/7/25, 4:25 AM Chapter 21 - Notes
4) In 2006, the infant mortality rate was ________ per 1,000 births in low-income countries.
A) 6.9
B) 29.9
C) 39.8
D) 114
Answer: D
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
5) In 2005, the number of Internet users was ________ per 1,000 people in high-income
countries.
A) 194
B) 523
C) 774
D) 851
Answer: B
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
6) The term "Fourth World" is used to describe countries that
A) are stagnant and have fallen far behind the economic advances of the rest of the world.
B) have experienced rapid economic growth.
C) are more developed than "Third World" countries.
D) are closer to developed countries than transitional economies.
Answer: A
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Definition
Learning Outcome: Macro-16
7) In 2006, the literacy rate of people over the age of 15 was 60.8% for people in countries
classified as
A) low-income.
B) lower middle-income.
C) upper middle-income.
D) high-income.
Answer: A
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
2
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, 1/7/25, 4:25 AM Chapter 21 - Notes
8) Which of the following statements is false?
A) Developing countries have a lower per capita income compared to developed countries.
B) Developing countries have a lower infant mortality rate compared to developed countries.
C) Developing countries have lower life expectancy compared to developed countries.
D) A smaller percentage of the population live in urban areas in developing countries compared
to developed countries.
Answer: B
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
9) In 2012, the world population grew to ________ people.
A) over 6.9 billion
B) just under 17 billion
C) approximately 32 billion
D) almost 1 trillion
Answer: A
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
10) Which of the following is NOT a characteristic that is associated with developed countries?
A) a high per capita GNI
B) low infant mortality rates
C) high life expectancy
D) an income distribution that is very close to being equal
Answer: D
Diff: 2
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
11) Characteristics of economic development include all of the following EXCEPT
A) improvements in basic education.
B) an increase in the standard of living.
C) a decrease in the percentage of the labor force in urban areas.
D) an increase in life expectancy.
Answer: C
Diff: 2
Topic: Life in the Developing Nations: Population and Poverty
Skill: Conceptual
AACSB: Reflective Thinking
Learning Outcome: Macro-16
3
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Principles of Microeconomics, 11e -TB1 (Case/Fair/Oster)
Chapter 21 Economic Growth in Developing and Transitional Economies
21.1 Life in the Developing Nations: Population and Poverty
1) Chronic food shortages, explosive population growth, and hyperinflations are problems facing
A) industrial countries.
B) first world countries.
C) developing countries.
D) developed countries.
Answer: C
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
2) In developing countries,
A) financial markets are well developed.
B) central banks are effective in controlling the macroeconomy.
C) labor productivity in agriculture is high.
D) infant mortality is high.
Answer: D
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
3) In 2006, per capita income was roughly ________ times lower in low-income countries than
in high-income countries.
A) 12
B) 31
C) 56
D) 181
Answer: C
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
1
Copyright © 2014 Pearson Education, Inc.
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,1/7/25, 4:25 AM Chapter 21 - Notes
4) In 2006, the infant mortality rate was ________ per 1,000 births in low-income countries.
A) 6.9
B) 29.9
C) 39.8
D) 114
Answer: D
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
5) In 2005, the number of Internet users was ________ per 1,000 people in high-income
countries.
A) 194
B) 523
C) 774
D) 851
Answer: B
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
6) The term "Fourth World" is used to describe countries that
A) are stagnant and have fallen far behind the economic advances of the rest of the world.
B) have experienced rapid economic growth.
C) are more developed than "Third World" countries.
D) are closer to developed countries than transitional economies.
Answer: A
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Definition
Learning Outcome: Macro-16
7) In 2006, the literacy rate of people over the age of 15 was 60.8% for people in countries
classified as
A) low-income.
B) lower middle-income.
C) upper middle-income.
D) high-income.
Answer: A
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
2
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, 1/7/25, 4:25 AM Chapter 21 - Notes
8) Which of the following statements is false?
A) Developing countries have a lower per capita income compared to developed countries.
B) Developing countries have a lower infant mortality rate compared to developed countries.
C) Developing countries have lower life expectancy compared to developed countries.
D) A smaller percentage of the population live in urban areas in developing countries compared
to developed countries.
Answer: B
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
9) In 2012, the world population grew to ________ people.
A) over 6.9 billion
B) just under 17 billion
C) approximately 32 billion
D) almost 1 trillion
Answer: A
Diff: 1
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
10) Which of the following is NOT a characteristic that is associated with developed countries?
A) a high per capita GNI
B) low infant mortality rates
C) high life expectancy
D) an income distribution that is very close to being equal
Answer: D
Diff: 2
Topic: Life in the Developing Nations: Population and Poverty
Skill: Fact
Learning Outcome: Macro-16
11) Characteristics of economic development include all of the following EXCEPT
A) improvements in basic education.
B) an increase in the standard of living.
C) a decrease in the percentage of the labor force in urban areas.
D) an increase in life expectancy.
Answer: C
Diff: 2
Topic: Life in the Developing Nations: Population and Poverty
Skill: Conceptual
AACSB: Reflective Thinking
Learning Outcome: Macro-16
3
Copyright © 2014 Pearson Education, Inc.
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