This quiz works best with JavaScript enabled. Home > Economics > Development > General > Economic Development – Quiz 1 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Development Quiz 1 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. ..... was the rate of growth of per capita output per year during the first half of the 20th century A) 2%. B) 1 %. C) 1.5%. D) 0.5 %. Show Answer Correct Answer: D) 0.5 %. 2. Holds that political and economic relationships between countries and religions of the world and limits the economic development of poorer areas. A) Dependency Theory. B) Horizontal Integration. C) Deindustrialization. D) Friction of distance. Show Answer Correct Answer: A) Dependency Theory. 3. The phenomenon of high technology firms located near other like firms or near research universities is known as A) Diffusion. B) Ecumene. C) Zone of transition. D) Agglomeration. Show Answer Correct Answer: D) Agglomeration. 4. The average number of years that a newborn baby is expected to live if the age-specific mortality rates effective at the year of birth apply throughout their lifetime A) Mortality rate. B) Distributional rate. C) Health rate. D) Life expectancy at birth. Show Answer Correct Answer: D) Life expectancy at birth. 5. A foreign currency gap occurs when the amount of foreign currency in a country?. The most common cause is when net? are greater than net? A) Increases, Imports, Exports. B) Increases, Exports, Imports. C) Decreases, Exports, Imports. D) Decreases, Imports, Exports. Show Answer Correct Answer: D) Decreases, Imports, Exports. 6. Why does Coca-Cola have bottling plants all over the world and not just one major plant? A) Because Coca Cola is a Footloose industry. B) Because Coca Cola is a Bluk Reducing Industry. C) Because Coca Cola is a Basic Industry. D) Because Coca Cola is a Bulk Gaining Industry. Show Answer Correct Answer: D) Because Coca Cola is a Bulk Gaining Industry. 7. Agrarian economy based on subsistence rather than commercial production (Low production and per capita income) A) Subsistence economy. B) Service economy. C) Rostow's Stages of Economic Development. D) Brandt Line. Show Answer Correct Answer: A) Subsistence economy. 8. Jaylynn has opened a restaurant serving strawberry desserts. Tien and Marcela are security guards at the restaurant. They all work in the ..... sector. A) Secondary. B) Primary. C) Tertiary. D) Quaternary. Show Answer Correct Answer: C) Tertiary. 9. According to Malthus, the fixed factor of production is A) Labor. B) Capital. C) Land. D) Entrepreneurship. Show Answer Correct Answer: C) Land. 10. A Doctor or Lawyer would be in which economic sector? A) Qinary. B) Tertiary. C) Secondary. D) Primary. Show Answer Correct Answer: B) Tertiary. 11. X. Economic development means economic growth and higher standard of livingY. Economic development is equivalent to economic dependence and industrialization A) A. B) B. C) C. D) D. Show Answer Correct Answer: A) A. 12. The ..... measures a country's income, life expectancy, and education level A) Gross Domestic Product Per Capita (GDP Per Capita). B) Standard of Living Index. C) Human Development Index (HDI). D) Literacy Rate. Show Answer Correct Answer: C) Human Development Index (HDI). 13. When was the planning commission set up? A) 1949. B) 1950. C) 1850. D) 1951. Show Answer Correct Answer: B) 1950. 14. These were invented to transport oil. You find them mostly in Alaska, but are now all over North America. They were needed so that transporting oil can take place even in very bad weather. What are they? A) 18 wheel trucks. B) Railroads. C) Pipelines. D) Helicopters. Show Answer Correct Answer: C) Pipelines. 15. When did Keynes believe federal governments should be involved in the economics of a nation? A) All the time. B) Never. C) Only when necessary. D) Only when the leader of the government wanted. Show Answer Correct Answer: C) Only when necessary. 16. Underemployment is a situation where A) People who are willing to work are unable to find jobs. B) Many people in the labor force hold two or more jobs. C) People are working full-time and hard, yet have a low marginal product. D) People work in a free labor market with a very low wage. Show Answer Correct Answer: C) People are working full-time and hard, yet have a low marginal product. 17. The Human Development Index is on a scale of: A) 0-100. B) 0-1. C) 0-20. D) 0-10. Show Answer Correct Answer: B) 0-1. 18. What was the name of the 18th and 19th century trade route that shifted goods and people between Europe, Africa, and the Americas? A) Rectangular Trade. B) Triangular Trade. C) Circular Trade. D) Spherical Trade. Show Answer Correct Answer: B) Triangular Trade. 19. Which statement provides an important reason why countries and regions specialize in their economic activities? A) They are unable to overcome trade barriers. B) They become more self-sufficient. C) They have different productive resources. D) They do not wish to compete. Show Answer Correct Answer: C) They have different productive resources. 20. Areas within developing countries that offer incentives and a barrier-free environment to promote economic growth. A) Offshoring. B) Export-Processing Zone (EPZ). C) Outsourcing. D) Trading bloc. Show Answer Correct Answer: B) Export-Processing Zone (EPZ). 21. Potential primary economic activities are often restricted by which of the following? A) Corporate competition. B) Physical environment. C) International exchange rates. D) Local cultural norms. Show Answer Correct Answer: B) Physical environment. 22. Who is the governor of RBI at present. A) Shakti Kant Das. B) Raghuram Rajan. C) Urjit Patel. D) Manmohan Singh. Show Answer Correct Answer: A) Shakti Kant Das. 23. How many percent of Indian farmers get Minimum Support Price (MSP) in India A) 65%. B) 100%. C) 6%. D) 25%. Show Answer Correct Answer: C) 6%. 24. The one variable that stands out as the most significant explanation of large variations in living standards around the world is A) Population. B) Preferences. C) Productivity. D) Prices. Show Answer Correct Answer: C) Productivity. 25. Process by which firms move industrial jobs to other regions leaving behind high unemployment. A) Agglomeration. B) Deindustrialization. C) Industrialization. D) Outsourcing. Show Answer Correct Answer: B) Deindustrialization. 26. Which among the following is a characteristic of underdevelopment? A) Growth of industries. B) High rate of urbanization. C) Rising mass consumption. D) Vicious circle of poverty. Show Answer Correct Answer: D) Vicious circle of poverty. 27. A Country with an HDI of .92 is most likely what type of country A) MDC. B) LDC. C) In between. D) None of above. Show Answer Correct Answer: A) MDC. 28. Factories built by US companies in Mexico near the US border, to take advantage of much lower labor cost in Mexico. A) Telenovelas. B) Esperantos. C) Maquiladores. D) Technopoles. Show Answer Correct Answer: C) Maquiladores. 29. ..... Stage is characterized by the domestication of plants. A) Pastoral. B) Hunting and Gathering. C) Horticultural. D) Post-Industrial. Show Answer Correct Answer: C) Horticultural. 30. Which one of these is a central problem of an Economy? A) What to produce. B) How to produce. C) For whom to produce. D) All of the above. Show Answer Correct Answer: D) All of the above. Next →Related QuizzesDevelopment QuizzesEconomics QuizzesEconomic Development Quiz 2Economic Development Quiz 3Economic Development Quiz 4Economic Development Quiz 5Economic Development Quiz 6Economic Development Quiz 7Economic Development Quiz 8Economic Development Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books