Question 1

A World Bank study found that charging user fees for medical treatment in developing countries dramatically reduced treatment rates, indicating that these medical treatments have elasticities

Accepted Answer

Elasticities greater than 1 indicate that the demand for medical treatments is elastic, meaning a small change in price leads to a large change in the quantity demanded. The dramatic reduction in treatment rates upon charging user fees supports this conclusion.

Question 2

Based on a World Bank study, medical treatment in developing countries has an elasticity value greater than 1.

Accepted Answer

Elasticity greater than 1 indicates that the demand for medical treatment in developing countries is elastic, meaning a small change in price leads to a larger change in the quantity demanded. This is often true in developing countries where the cost of medical care can significantly impact access due to generally lower income levels.

Question 3

Teacher absenteeism is a problem facing education in the developing world.

Accepted Answer

Teacher absenteeism significantly impacts the quality of education, as it leads to lost instructional time, disrupts the continuity of learning for students, and often indicates broader systemic issues within the educational infrastructure of developing countries.

Question 4

In Rajasthan, India teachers in half of the community's schools were asked to have their pictures taken with their children, and this evidence of attendance fed into the compensation of the teacher. The result of this experiment was that teacher absentee rates ________ relative to classrooms in which no cameras were introduced.

Accepted Answer

The introduction of cameras and the requirement for teachers to take pictures with their students as evidence of attendance led to a significant reduction in teacher absentee rates, effectively cutting them in half. This approach provided a direct accountability measure that linked teacher presence to their compensation, thereby incentivizing regular attendance.

Question 5

Human capital is an important ingredient in the economic growth of a nation.

Accepted Answer

Human capital, which includes the skills, knowledge, and experience possessed by an individual or population, is crucial for innovation, productivity improvement, and the overall economic development of a nation.

Question 6

Related to the Economics in Practice on p. 716: By 2001, the majority of the fishing fleet in the Indian state of Kerala had mobile phones. As a result of the introduction of mobile phone service, ________ in this fishing industry was virtually eliminated.

Accepted Answer

The introduction of mobile phones allowed fishermen to communicate with markets directly, reducing the amount of unsold catch and thus virtually eliminating waste in the fishing industry.

Question 7

Related to the Economics in Practice on page 716: By 2001, the majority of the fishing fleet in the Indian state of Kerala had mobile phones. As a result of the introduction of mobile phone service to this fishing industry, profits ________ and consumer prices ________.

Accepted Answer

The introduction of mobile phones allowed fishermen to communicate with markets to find the best prices for their catch, leading to increased profits for them and lower prices for consumers due to more efficient market matching.

Question 8

Related to the Economics in Practice on p. 716: By 2001, the majority of the fishing fleet in the Indian state of Kerala had mobile phones. As a result of the introduction of mobile phone service to this fishing industry, ________ increased and ________ decreased.

Accepted Answer

The introduction of mobile phones allowed fishermen to communicate with markets directly, leading to increased profits due to better price negotiations and decreased consumer prices due to more efficient market distribution, reducing waste and increasing supply.

Question 9

Student absenteeism is a problem facing education in the developing world.

Accepted Answer

Student absenteeism is a significant issue in the developing world, often due to factors such as poverty, lack of access to schools, health issues, and socio-economic challenges, which can hinder regular attendance and negatively impact educational outcomes.

Question 10

With random experiments, outcomes of specific interventions are are determined by using the intervention in a(n) ________ subset of a sample and then comparing outcomes from the exposed and control group.

Accepted Answer

In random experiments, outcomes of specific interventions are determined by using the intervention in a randomly selected subset of a sample. This method ensures that the selection process does not introduce any bias, allowing for a fair comparison between the exposed (intervention) group and the control group.

Question 11

An alternative to ________ is to rely on natural experiments to mimic the controlled experiment.

Accepted Answer

The answer of An alternative to ________ is to rely...

Question 12

A World bank study conducted in Kenya found that as the proportion of vaccinated people in a village grew, more people wanted to get vaccinated.

Accepted Answer

The answer of A World bank study conducted in Kenya...

Question 13

Throughout the developing world, teacher absenteeism

Accepted Answer

Teacher absenteeism in the developing world is a significant issue that negatively impacts education, as it leads to lost instructional time and undermines the quality of education students receive.

Quiz 21: Economic Growth in Developing Economies