Concerning the hypothesis that there has occurred a long run deterioration in the developing countries terms of trade empirical studies provide ?
Correct answer: A. mixed evidence that does not substantiate the deterioration hypothesis
- A. mixed evidence that does not substantiate the deterioration hypothesis
- B. overwhelming support for the deterioration hypothesis
- C. overwhelming opposition to the deterioration hypothesis
- D. None of the above
Explanation
Empirical research on the long-run terms of trade of developing countries has produced mixed results, so it does not conclusively establish a persistent deterioration. The hypothesis is associated particularly with the Prebisch-Singer thesis.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Macroeconomics
The economy is studied as a whole through national income, gross domestic product, inflation, unemployment, economic growth and business cycles. Coverage includes aggregate demand and supply, consumption and investment, money and banking, fiscal and monetary policy, exchange rates and balance of payments, which distinguishes macroeconomics from the study of individual markets.
Practise Macroeconomics
1,499 free Macroeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Macroeconomics questions
Among the institutions and policies that have been created to support developing countries are?
Most of developing-country exports consist of ?
Tariff levels in advanced countries tend to be __________ tariff levels in developing countries?
What is deflation________________?
Which of the following is a valid currency______________?
From each according to his ability to each according to his need is the theoretical slogan of ?