A. Supply
B. infrastructure
C. agriculture
D. services

A. a country is poor because it has lower productivity but high savings
B. as countries grow richer they save less
C. poverty perpetuates itself in mutually reinforcing circles on supply and demand sides
D. market size is large in LDCs

I- the migration of serfs to the town
II- factory competition with handicraft and manorial production
III- expanded transport trade, discovery and new international markets
IV- the rise of the business corporation
A. I and II only
B. II and III only
C. I, II and III only
D. IV only

I- laissez faire
II- the invisible hand
III- free trade policy
IV- competitive markets
A. I and II only
B. II and III only
C. I , II and III only
D. I , II , III and IV

I- is a systematic explanation of relationships between economic variables
II- explains causal relationships among variables
III- provides a basis for policy
IV- provides an explanation of all factors influencing economic growth.
A. I only
B. I and II only
C. I , II and III only
D. IV only

A. directly related to savings and inversely related to the capital/output ratio
B. directly related to the capital/output ratio and inversely related to savings
C. indirectly related to savings and the capital/output ratio
D. directly related to savings and the capital/output ratio

A. based on an alliance between landowners and peasants
B. based on an alliance between peasants and the foreign bourgeoisie
C. transferred from one elite to another when revolution occurs
D. derived from domestic opponents of nationalism

A. the difficulty of testing the stages scientifically
B. conditions for takeoff are contradicted by historical evidence
C. characteristics of one stage are not unique to that stage
D. All of the above are correct

A. benefits if each acts in his/her own interest
B. will increase their profits in a free market
C. should act to maximize economic growth
D. should act to promote the public interest

A. with an average product of labor in agriculture that is negative
B. with a downward-slog supply curve of labor
C. with a marginal productivity of labor zero or negligible in industry
D. with a traditional agricultural sector and an industrial capitalist sector