CH 3.2 Economic Development
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Questions and Answers

What is economic development primarily concerned with?

  • Boosting education and healthcare only
  • Improving the standard of living of a society (correct)
  • Encouraging entrepreneurship alone
  • Increasing an economy's output

Which of the following strategies is NOT a method for development?

  • Reducing population growth (correct)
  • Resource Improvement
  • Promoting Entrepreneurship
  • Labor Quality

What is a common characteristic of developing countries?

  • Low population growth
  • High dependence on industry
  • High life expectancy
  • Low standard of living (correct)

What is the primary focus of capital investment for development?

<p>Both directly productive assets and indirectly productive infrastructure (D)</p> Signup and view all the answers

What does the Human Development Index (HDI) measure?

<p>Life expectancy, education, and GDP per capita (A)</p> Signup and view all the answers

Why do developing countries often have low productivity?

<p>Due to outdated technology, insufficient capital, and under-skilled labor (B)</p> Signup and view all the answers

What is a consequence of high population growth in developing countries?

<p>Social challenges (C)</p> Signup and view all the answers

What is a characteristic of developing countries' economies?

<p>Dependence on agriculture (D)</p> Signup and view all the answers

What is the main goal of the Growth, Employment, and Redistribution Policy (GEAR) in South Africa?

<p>To stabilize the economy and promote growth and redistribution (A)</p> Signup and view all the answers

What characterizes Indigenous Knowledge Systems (IKS)?

<p>Local and culture-specific, experiential, and dynamic (D)</p> Signup and view all the answers

What is the definition of poverty according to the World Bank?

<p>The inability to attain a minimum standard of living (D)</p> Signup and view all the answers

What is the primary objective of the Millennium Development Goals?

<p>To eradicate extreme poverty and hunger (B)</p> Signup and view all the answers

What is the main focus of the Reconstruction and Development Programme (RDP)?

<p>To restructure the economy to enable sustainable development (A)</p> Signup and view all the answers

What is the purpose of knowledge centers established in South Africa since 1994?

<p>To preserve Indigenous Knowledge Systems (IKS) (B)</p> Signup and view all the answers

What is the poverty line income used for?

<p>To indicate the minimum income needed to cover basic needs (D)</p> Signup and view all the answers

What is one of the causes of poverty mentioned in the text?

<p>Lack of education (B)</p> Signup and view all the answers

What is one of the effects of poverty mentioned in the text?

<p>Social unrest (C)</p> Signup and view all the answers

What is the primary goal of the Accelerated Shared Growth Initiative for South Africa (ASGISA)?

<p>To rectify shortcomings of previous policies and boost economic growth (B)</p> Signup and view all the answers

What is the key difference between economic growth and economic development?

<p>Economic growth focuses on increasing output, while economic development focuses on improving the standard of living. (D)</p> Signup and view all the answers

Which of the following strategies is most likely to add value to raw products in a developing country?

<p>Enhancing the quality and value of natural resources through beneficiation processes (D)</p> Signup and view all the answers

What is a common consequence of a low standard of living in developing countries?

<p>High population growth (C)</p> Signup and view all the answers

Why is promoting entrepreneurship important for economic development?

<p>It creates jobs and diversifies goods and services (A)</p> Signup and view all the answers

What is the primary purpose of the Human Development Index (HDI)?

<p>To measure a country's development through factors like life expectancy, education, and GDP per capita (A)</p> Signup and view all the answers

What is a common characteristic of developing countries' economies?

<p>Reliance on primary sector outputs (A)</p> Signup and view all the answers

What is the main goal of capital investment in economic development?

<p>To invest in both directly productive assets and indirectly productive infrastructure (B)</p> Signup and view all the answers

Why is investing in labor quality important for economic development?

<p>It boosts education, particularly in crucial areas like math and science, and improves healthcare and worker motivation (A)</p> Signup and view all the answers

Which stage of development is characterized by high mass consumption?

<p>High mass consumption (D)</p> Signup and view all the answers

What is the primary goal of the Reconstruction and Development Programme (RDP) in South Africa?

<p>To restructure the economy for sustainable development (B)</p> Signup and view all the answers

What is the significance of Indigenous Knowledge Systems (IKS) in South Africa?

<p>It is a valuable cultural heritage for addressing local health care needs (A)</p> Signup and view all the answers

What is the difference between absolute and relative poverty?

<p>Absolute poverty involves the lack of basic human needs, while relative poverty is a comparative lack within society (C)</p> Signup and view all the answers

What is the purpose of the poverty line income?

<p>To indicate the minimum income needed to cover basic needs (D)</p> Signup and view all the answers

What is a common cause of poverty mentioned in the text?

<p>Lack of education (A)</p> Signup and view all the answers

What is a common effect of poverty mentioned in the text?

<p>Social unrest (C)</p> Signup and view all the answers

What is the purpose of the Accelerated Shared Growth Initiative for South Africa (ASGISA)?

<p>To rectify shortcomings of previous policies and boost economic growth (B)</p> Signup and view all the answers

What is the characteristic of Indigenous Knowledge Systems (IKS) that is gained through direct experience?

<p>Experiential (A)</p> Signup and view all the answers

What is the global goal that South Africa aligns with to address issues like poverty, education, and health?

<p>Millennium Development Goals (MDG) (B)</p> Signup and view all the answers

Which of the following is NOT a key aspect of economic development?

<p>Increasing an economy's output (B)</p> Signup and view all the answers

What is the primary aim of resource improvement as a strategy for development?

<p>To add value to raw products through beneficiation processes (A)</p> Signup and view all the answers

What is a common characteristic of developing countries that hinders economic development?

<p>Inadequate infrastructure (A)</p> Signup and view all the answers

What is the primary focus of promoting entrepreneurship as a strategy for development?

<p>To create jobs and diversify goods and services (C)</p> Signup and view all the answers

Why is improving labor quality important for economic development?

<p>To improve healthcare and worker motivation (A)</p> Signup and view all the answers

What is the Human Development Index (HDI) used to measure?

<p>A country's development through factors like life expectancy, education, and GDP per capita (B)</p> Signup and view all the answers

Why do developing countries often have low productivity?

<p>Due to outdated technology, insufficient capital, and under-skilled labor (A)</p> Signup and view all the answers

What is a key difference between economic growth and economic development?

<p>Economic growth involves increasing an economy's output, while economic development involves improving the standard of living (C)</p> Signup and view all the answers

Which strategy for economic development focuses on revamping the economy to enable sustainable development?

<p>Reconstruction and Development Programme (RDP) (C)</p> Signup and view all the answers

What is the primary goal of social welfare grants in South Africa's poverty alleviation efforts?

<p>Provide basic needs like healthcare and education (D)</p> Signup and view all the answers

What is the common characteristic of Indigenous Knowledge Systems (IKS) that makes them valuable for local healthcare needs?

<p>Rooted in specific communities and traditions (A)</p> Signup and view all the answers

Which stage of economic development is characterized by high mass consumption?

<p>High mass consumption society (C)</p> Signup and view all the answers

What is the primary objective of the Growth, Employment, and Redistribution Policy (GEAR) in South Africa?

<p>Stabilize the economy and promote growth and redistribution (D)</p> Signup and view all the answers

What is the difference between absolute and relative poverty?

<p>Absolute poverty involves the lack of basic human needs, while relative poverty is a comparative lack within society (C)</p> Signup and view all the answers

What is the purpose of the poverty gap index in measuring poverty?

<p>To reflect the intensity of poverty by calculating the average shortfall from the poverty line (D)</p> Signup and view all the answers

What is the primary focus of the Accelerated Shared Growth Initiative for South Africa (ASGISA)?

<p>Addressing the shortcomings of previous policies (A)</p> Signup and view all the answers

What is the significance of preserving Indigenous Knowledge Systems (IKS) in South Africa?

<p>To recognize the value of traditional knowledge in local healthcare needs, agricultural practices, and environmental management (C)</p> Signup and view all the answers

Which of the following is a consequence of poverty mentioned in the text?

<p>Social unrest and crime rates (B)</p> Signup and view all the answers

What is the primary focus of the Millennium Development Goals?

<p>Eradicating extreme poverty and hunger (D)</p> Signup and view all the answers

What is the main goal of the Reconstruction and Development Programme (RDP) in South Africa?

<p>Restructuring the economy to enable sustainable development (B)</p> Signup and view all the answers

What is the characteristic of Indigenous Knowledge Systems (IKS) that is continuously evolving?

<p>Dynamic (B)</p> Signup and view all the answers

What is the primary aim of the Accelerated Shared Growth Initiative for South Africa (ASGISA)?

<p>Rectifying shortcomings of previous policies and boosting economic growth (C)</p> Signup and view all the answers

What is the main goal of the Growth, Employment, and Redistribution Policy (GEAR) in South Africa?

<p>Stabilizing the economy and promoting growth and redistribution (B)</p> Signup and view all the answers

What is a key aspect of economic development?

<p>Modernization of agriculture (B)</p> Signup and view all the answers

What is the primary focus of social welfare grants in South Africa's poverty alleviation efforts?

<p>Providing basic needs like food, healthcare, and education (B)</p> Signup and view all the answers

What is the primary characteristic of Indigenous Knowledge Systems (IKS) that makes them valuable for local healthcare needs?

<p>Local and culture-specific (C)</p> Signup and view all the answers

What is the main goal of the Reconstruction and Development Programme (RDP) in South Africa?

<p>Restructuring the economy to enable sustainable development (A)</p> Signup and view all the answers

What is the primary goal of the Millennium Development Goals?

<p>Eradicating extreme poverty and hunger (B)</p> Signup and view all the answers

What is the primary focus of economic development?

<p>Improving the standard of living of a society (A)</p> Signup and view all the answers

Which strategy is likely to add value to raw products?

<p>Resource Improvement (A)</p> Signup and view all the answers

What is a common characteristic of developing countries?

<p>High population growth (D)</p> Signup and view all the answers

What is the purpose of the Human Development Index (HDI)?

<p>To measure a country's development (B)</p> Signup and view all the answers

What is the primary goal of promoting entrepreneurship?

<p>To diversify goods and services (D)</p> Signup and view all the answers

What is the result of low labor quality?

<p>Low productivity (D)</p> Signup and view all the answers

What is the primary focus of capital investment?

<p>Investing in directly productive assets (B)</p> Signup and view all the answers

What is a characteristic of developing countries' economies?

<p>Low productivity (C)</p> Signup and view all the answers

What is the primary goal of resource improvement?

<p>To add value to raw products (C)</p> Signup and view all the answers

Why is labor quality important for economic development?

<p>To increase productivity (A)</p> Signup and view all the answers

What is the primary goal of economic development?

<p>To improve the standard of living of a society (A)</p> Signup and view all the answers

Which strategy for development focuses on adding value to raw products?

<p>Resource Improvement (D)</p> Signup and view all the answers

What is a common characteristic of developing countries' economies?

<p>Reliance on primary sector outputs (D)</p> Signup and view all the answers

What is the significance of the Human Development Index (HDI)?

<p>Measures life expectancy, education, and GDP per capita (C)</p> Signup and view all the answers

Why is promoting entrepreneurship important for economic development?

<p>It creates jobs and diversifies goods and services (B)</p> Signup and view all the answers

What is a common consequence of high population growth in developing countries?

<p>Exacerbating economic and social challenges (C)</p> Signup and view all the answers

What is the primary focus of capital investment in economic development?

<p>Investing in both directly productive assets and indirectly productive infrastructure (C)</p> Signup and view all the answers

What is the significance of improving labor quality in economic development?

<p>It boosts education and healthcare (D)</p> Signup and view all the answers

What is the primary goal of resource improvement in economic development?

<p>To enhance the quality and value of natural resources (C)</p> Signup and view all the answers

What is the characteristic of developing countries that hinders economic development?

<p>Low productivity (C)</p> Signup and view all the answers

What is the primary goal of the Reconstruction and Development Programme (RDP) in South Africa?

<p>To target restructuring the economy to enable sustainable development (C)</p> Signup and view all the answers

What is a key characteristic of Indigenous Knowledge Systems (IKS) that makes them valuable for local healthcare needs?

<p>They are rooted in specific communities and traditions (D)</p> Signup and view all the answers

What is the primary objective of the Millennium Development Goals (MDG)?

<p>To eradicate extreme poverty and hunger (C)</p> Signup and view all the answers

What is the primary goal of the Accelerated Shared Growth Initiative for South Africa (ASGISA)?

<p>To rectify shortcomings of previous policies and boost economic growth (D)</p> Signup and view all the answers

What is a common cause of poverty mentioned in the text?

<p>Lack of education (B)</p> Signup and view all the answers

What is a common effect of poverty mentioned in the text?

<p>Social unrest (A)</p> Signup and view all the answers

What is the primary focus of economic development?

<p>Transitioning through various stages from a traditional society to one characterized by high mass consumption (A)</p> Signup and view all the answers

What is the characteristic of Indigenous Knowledge Systems (IKS) that is gained through direct experience?

<p>Experiential (A)</p> Signup and view all the answers

What is the primary goal of social welfare grants in South Africa's poverty alleviation efforts?

<p>To provide basic human needs like water, food, healthcare, education, clothing, and shelter (D)</p> Signup and view all the answers

Which stage of development is characterized by high mass consumption?

<p>High mass consumption society (B)</p> Signup and view all the answers

What is the primary distinction between economic growth and economic development?

<p>Economic growth involves increases in output, whereas economic development encompasses broader improvements in living standards. (C)</p> Signup and view all the answers

Which strategy for development is most likely to increase the value of natural resources?

<p>Resource improvement through beneficiation processes (B)</p> Signup and view all the answers

What is a key difference between Industrialization and Urbanization as strategies for economic development?

<p>One focuses on growth of industries while the other focuses on growth of cities (A)</p> Signup and view all the answers

What is the primary objective of the Reconstruction and Development Programme (RDP) in South Africa?

<p>To target restructuring the economy to enable sustainable development (A)</p> Signup and view all the answers

What is a characteristic of many developing countries' economies?

<p>Reliance on primary sector outputs (D)</p> Signup and view all the answers

What is the characteristic of Indigenous Knowledge Systems (IKS) that is continuously evolving?

<p>Dynamic (A)</p> Signup and view all the answers

What is a common consequence of high population growth in developing countries?

<p>Exacerbated economic and social challenges (D)</p> Signup and view all the answers

What is the primary purpose of the Human Development Index (HDI)?

<p>To evaluate a country's development through life expectancy, education, and GDP per capita (C)</p> Signup and view all the answers

What is the primary goal of the Millennium Development Goals (MDG) that South Africa aligns with?

<p>To eradicate extreme poverty and hunger by 2015 (C)</p> Signup and view all the answers

What is the primary benefit of promoting entrepreneurship in developing countries?

<p>Job creation and diversification of goods and services (D)</p> Signup and view all the answers

What is the primary objective of the Accelerated Shared Growth Initiative for South Africa (ASGISA)?

<p>To rectify shortcomings of previous policies and boost economic growth (A)</p> Signup and view all the answers

What is the primary goal of the Growth, Employment, and Redistribution Policy (GEAR) in South Africa?

<p>To stabilize the economy and promote growth and redistribution (D)</p> Signup and view all the answers

What is a key reason why developing countries often have low productivity?

<p>Outdated technology (A)</p> Signup and view all the answers

What is the primary goal of capital investment in economic development?

<p>To stimulate economic growth through investment in productive assets (D)</p> Signup and view all the answers

What is the primary objective of social welfare grants in South Africa's poverty alleviation efforts?

<p>To provide financial support to the poor and vulnerable (B)</p> Signup and view all the answers

What is a common characteristic of developing countries' infrastructure?

<p>Inadequate and underdeveloped (A)</p> Signup and view all the answers

What is the characteristic of Indigenous Knowledge Systems (IKS) that makes them valuable for local healthcare needs?

<p>Local and culture-specific (D)</p> Signup and view all the answers

What is a key difference between labor quality improvement and resource improvement?

<p>Labor quality improvement focuses on human capital, while resource improvement focuses on natural resources. (C)</p> Signup and view all the answers

What is the primary objective of Urbanization as a strategy for economic development?

<p>To improve infrastructure and develop cities (B)</p> Signup and view all the answers

What is the primary objective of the Reconstruction and Development Programme (RDP) in terms of poverty alleviation?

<p>To address the root causes of poverty (A)</p> Signup and view all the answers

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