Income Elasticity and Nutrition Link

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Why are health and education considered important objectives of development?

They are directly linked to the country's natural resource endowment.

They are crucial components of growth and development. (correct)

They are key indicators of a country's GDP.

They are related to the country's political stability.

How does education impact a developing country's ability to absorb modern technology?

By enhancing the country's capacity for innovation and adaptation. (correct)

By increasing the country's population growth rate.

By reducing the country's reliance on traditional practices.

By limiting the exposure of the country to global advancements.

In 1950, what was the child mortality rate in low-income countries?

4 per 1,000

57 per 1,000

7 per 1,000

280 per 1,000 (correct)

What was the child mortality rate in high-income countries in 2008?

4 per 1,000 Signup and view all the answers

Why is health considered a prerequisite for increases in productivity?

Because productivity is positively correlated with a healthy workforce. Signup and view all the answers

Which disease used to cause more than 5 million deaths annually before it was eradicated?

Smallpox Signup and view all the answers

What is human capital defined as in the text?

Productive investments embodied in human persons Signup and view all the answers

How does greater health capital impact education investments?

It improves the returns to investments in education Signup and view all the answers

Why are health and education considered joint investments for development according to the text?

Because greater health capital may improve the returns to investments in education Signup and view all the answers

How do higher income levels contribute to improved health and education?

By enabling increased spending on health and education Signup and view all the answers

What is an example of the interaction between health and education mentioned in the text?

Educating health personnel on basic hygiene and sanitation Signup and view all the answers

In what way does a longer life impact the rate of return to education?

It raises the rate of return to education Signup and view all the answers

Why might increases in income not necessarily lead to substantial increases in investment in children’s education and health?

Parents prioritize spending their increased income on goods other than education and health Signup and view all the answers

What does the income elasticity of the demand for calories among low-income people indicate?

It ranges from near zero to about 0.5 Signup and view all the answers

How do initial investments in health and education affect future income according to the text?

They lead to a stream of higher future income Signup and view all the answers

What is the significance of better educated mothers on the health of their children according to the text?

Better educated mothers have healthier children at any income level Signup and view all the answers

Why do household consumption choices often result in a small link between income and nutrition for children?

Households focus on increasing food variety rather than calorie consumption Signup and view all the answers

Why might significant market failures in education and health require policy action according to the text?

Market failures hinder investments in education and health areas Signup and view all the answers

What is suggested about the private returns to education compared to social returns?

Private returns are generally higher than social returns, especially at higher educational levels. Signup and view all the answers

When will the rate of return on education be higher?

When benefits are higher. Signup and view all the answers

What is included in the social rate of return on education?

Public subsidy for the individual’s education is included as part of the investment from a social perspective. Signup and view all the answers

How many children were classified as 'child labor' in 2008?

Over 96 million children. Signup and view all the answers

Where do most children engaged in 'hazardous work' reside?

Asia and the Pacific region. Signup and view all the answers

What does the text say regarding an immediate ban on all forms of child labor?

'Hazardous work' should be banned, but other forms can continue. Signup and view all the answers