Third World Countries
What is the main indicator we learned for economic growth?
Which account includes foreign debt forgiveness?
Capital account
This is generally assumed as the best indicator of economic growth when taking inflation into account.
Real GDP
Economic growth that cares for the environment and the people.
Sustainable development
What is the proper way to refer to Third World countries?
Less developed countries (LDC's)
Which account usually balances the trade surplus/deficit?
Financial account
If LRAS shifts to the right because of improved efficiency in manufacturing processes.
Technology
If it's not trade liberalisation, it's...
Protectionism
How do we show economic growth?
The Balance of Payments shows this relationship.
The sum of all transactions should equal zero.
One of the best ways to use supply side policy in LDC's.
Education
If you work with a group of countries to create similar agreements for international trade.
Common markets or trade blocs.
Deficit
A country exports more than it imports and receives more money from abroad than it pays out.
Surplus
This is used to measure inflation in most cases.
CPI
Sustainable development
You should really study this!
What government policy diminishes the role of the government?
Market based policy
The part which accounts for buying businesses.
Foreign Direct Investment
If you measure economic growth using GDP for all countries based on USD.
PPP
Elasticity, CPI, unemployment, alternative measures of well-being, inflation, ad/as, PPC, gini coefficient, taxes, market based policy, supply side policy, phew....
Things you should brush up on!