Multiple Choice
Economic growth theory predicts that poor countries will
A) never be able to catch up with rich countries.
B) not be able to catch up with rich countries because rich countries will always have a higher growth potential than poor countries.
C) be able to catch up with rich countries because the existing level of low productivity in poor countries attracts investment.
D) never be able to catch up with rich countries because the existing level of low productivity in poor countries deters investment.
E) be able to catch up with rich countries because rich countries will run out of investment opportunities and will be forced to rely on investment opportunities in the poor countries.
Correct Answer:

Verified
Correct Answer:
Verified
Q142: The informal economy has been beneficial to
Q143: The Industrial Revolution started in the United
Q144: There is a positive correlation between the
Q145: The richest countries in the world are
Q146: Poor countries are in principle aided by
Q148: Economic development is<br>A)the branch of economics that
Q149: The share of the population in the
Q150: China's relatively high saving rate played a
Q151: Which of the following is true?<br>A)Sustained economic
Q152: According to the catch-up phenomenon, a rich