Untitled Quiz

The amount of food grains available per person per year in India.

The production of goods and services outside of agriculture.

A period where per capita income did not rise.

Heavy government intervention, protecting import substitutes and promoting exports.

Sub-Saharan African economies grew between 1950 and 1970, even in per capita terms, and many grew faster in the 1960s than in the 1950s.

External factors impacted African economies adversely but weren't directly related to the features of African governments.

African economies faced a significant loss of skilled workers during independence.

Governments that heavily control the economy and trade.

The idea that weak governments in developing countries hinder economic growth by creating instability and corruption.

The effectiveness of a government in carrying out its functions, like enforcing laws, providing public services, and managing the economy.

When individuals or groups use their influence to gain economic benefits through unproductive means, like bribery or favoritism.

An economic philosophy that emphasizes free markets, minimal government intervention, and privatization to promote economic growth.

Government actions aimed at influencing trade flows, such as tariffs, subsidies, or import restrictions.

The incorrect belief that some East Asian economies, like Korea and Taiwan, achieved success with limited government intervention.

A mistaken belief in a simplistic model despite evidence contradicting it, often used in economics to defend free market ideologies.

A method used to assess how changes in variables affect the results of an economic model.

South Korea's economic success depended heavily on government intervention, shaping industries and strategically distorting prices to favor specific sectors.

The South Korean government actively acted as a business investor, bank, and architect of the industrial structure, unlike the 'hands-off' approach of neoclassical theory.

The South Korean government manipulated prices through subsidies, protection, controls, and restrictions on finance and investment, intentionally creating an industry different from what a free market would produce.

Large, diverse South Korean companies (chaebols) dominated the economy, with their combined sales reaching 67% of GNP in 1984, showcasing government support and their influence.

A significant portion of transactions within South Korea occurred within the large business groups, less subject to market pressures and more controlled by internal management.

The South Korean government didn't just support large businesses, but also controlled their use of subsidies. Good performers were rewarded, while those who misused support faced consequences.

The South Korean government actively intervened in the economy, forming close, strategic partnerships with large businesses, unlike the arm's-length relationship promoted by neoclassical theory.

South Korea's economic success deviated significantly from the neoclassical model of free markets and minimal government intervention, highlighting the limitations of the theory in explaining real-world growth.