Question 1

Third world nations consist of the rich, industrialized nations that have capitalist economic systems and democratic political systems.

Accepted Answer

Third world nations, also known as developing nations, typically have economic systems that are not fully capitalist and political systems that may not be fully democratic. These nations often struggle with poverty, lack of infrastructure, and political instability.

Question 2

Nations with high-income economies continue to dominate the world economy, despite capital flight (the movement of jobs and economic resources from one nation to another) and deindustrialization (closing plants and factories because of their obsolescence or the fact that workers in other nations are being hired to do the work more cheaply).

Accepted Answer

This statement is true as of current economic trends. Despite challenges such as capital flight and deindustrialization, high-income economies still dominate the global economy.

Question 3

Today, the World Bank focuses on three development themes: people, the environment, and the economy.

Accepted Answer

The World Bank's current development themes are people, the environment, and the economy.

Question 4

As middle-income nations have been required to make payments on their debts, the requisite structural adjustments have necessitated that the countries make spending cuts in areas that formally helped some of the poor, including subsidized food, education, and health care.

Accepted Answer

Middle-income nations have indeed been required to make debt payments and make spending cuts, which have impacted subsidies on food, education, and healthcare.

Question 5

The average life expectancy at birth of people in middle-income countries remains about 12 years less than that of people in high-income countries; moreover, the life expectancy of people in low-income countries is as much as 23 years less than that of people in high-income countries.

Accepted Answer

This statement is true according to data from the World Health Organization. The average life expectancy at birth in high-income countries is around 80 years, while in middle-income countries it is around 68 years, and in low-income countries it is around 57 years.

Question 6

U.S. President John F. Kennedy's economic advisor Walt W. Rostow suggested that all countries go through four stages of economic development. He stated that the second stage is the take-off stage-a period of economic growth accompanied by a growing belief in individualism, competition, and achievement.

Accepted Answer

Walt W. Rostow's model of economic development proposes that countries go through five stages, one of which is the take-off stage characterized by significant economic growth and a shift towards individualism, competition, and achievement.

Question 7

According to the dependency theory, the high-income, more-developed nations can improve their standard of living only with a period of intensive economic growth and accompanying changes in people's beliefs, values, and attitudes toward work.

Accepted Answer

According to the dependency theory, the high-income, more-developed nations have achieved their level of development at the expense of exploiting the resources and labor of low-income, less-developed nations. Therefore, the dependency theory proposes that the only way for low-income nations to improve their standard of living is to break free from their dependence on high-income nations and develop their own self-sufficient economies. The theory does not suggest that high-income nations need to undergo intensive economic growth and changes in people's beliefs, values, and attitudes toward work to improve their standard of living.

Question 8

Research shows that migrants from a poor country to a less poor one are better off economically than those who move from lower-income to higher-income nations.

Accepted Answer

Research generally indicates that migrants moving from lower-income to higher-income countries tend to experience greater economic benefits compared to those moving between countries with smaller income disparities.

Question 9

Following the Vietnam War, the Marshall Plan provided massive sums of money in direct aid and loans to rebuild the Southeast Asian economic base destroyed during the war.

Accepted Answer

The Marshall Plan was actually a U.S. aid program designed to rebuild Europe after World War II, not Southeast Asia after the Vietnam War. The U.S. did provide some economic assistance to Vietnam and other countries in the region after the war, but it was not on the same scale as the Marshall Plan.

Question 10

Today, gross national income (GNI) is a term that refers to all the goods and services produced in a country in a given year, plus the net income earned outside the country by individuals or corporations.

Accepted Answer

This is the correct definition of gross national income (GNI).

Question 11

Low-income countries are primarily hunting and gathering nations with some industrialization and moderate levels of national and personal income.

Accepted Answer

Low-income countries are primarily agricultural, with some industrialization, and have low levels of national and personal income. Hunting and gathering societies are generally found in pre-industrial societies.

Question 12

Global stratification refers to the unequal distribution of wealth, power, and prestige on a global basis, resulting in people having vastly different lifestyles and life chances both within and among the nations of the world.

Accepted Answer

Global stratification does indeed refer to the unequal distribution of wealth, power, and prestige on a global basis, leading to significant differences in lifestyle and life chances for people within and among nations around the world.

Question 13

According to social scientists, absolute poverty exists when people may be able to afford basic necessities but are still unable to maintain an average standard of living; it is measured by comparing the actual income against the income earner's expectations and perceptions.

Accepted Answer

According to social scientists, absolute poverty exists when people cannot afford basic necessities such as food, housing, and clothing. It is measured by comparing actual income against a predetermined poverty line, not against the income earner's expectations and perceptions.

Question 14

About one-half of the world's population lives in the ninety-three high-income economies, where most people engage in agricultural pursuits, reside in nonurban areas, and are impoverished.

Accepted Answer

The statement is false. High-income economies typically have a majority of their population living in urban areas and engaged in non-agricultural pursuits, and poverty rates are relatively low compared to low- and middle-income economies.

Question 15

According to the United Nations, women constitute about 40 percent of those who are illiterate. Literacy is crucial for women because it has been closely linked to increases in fertility, improved child health, and decreased earnings potential.

Accepted Answer

The answer of According to the United Nations, women constitute...

Question 16

Many poor women worldwide also do not have access to commercial credit and have been trained only in traditionally female skills that produce low wages. These factors have contributed to the global feminization of poverty, whereby women around the world tend to be more impoverished than men.

Accepted Answer

This statement is true. The lack of access to credit and low wages for traditionally female skills are contributing factors to the global feminization of poverty where women tend to be more impoverished than men.

Question 17

In 1990 the United Nations Development Program introduced the Human Development Index (HDI), establishing three new criteria-in addition to gross domestic product (GDP) -for measuring the level of development in a country: life expectancy, health, and education.

Accepted Answer

This statement is true. The UNDP did introduce the Human Development Index (HDI) in 1990 with additional criteria including life expectancy, health, and education in addition to GDP.

Question 18

In 1960, the wealthiest 20 percent of the world population had more than 30 times the income of the poorest 20 percent of the world population. By 2000, the wealthiest 20 percent of the world population had almost 80 times the income of the poorest 20 percent of the world population.

Accepted Answer

This statement is true according to data from the World Bank.

Question 19

Analysts using a development framework typically view industrialization and economic development as essential steps that nations must go through in order to reduce poverty and increase life chances for their citizens.

Accepted Answer

Analysts generally view industrialization and economic development as necessary for reducing poverty and improving living standards in a country.

Question 20

South to south migrants consist of people who have moved from one developing nation to another.

Accepted Answer

South to south migrants refers to people who have migrated from one developing country to another. This is in contrast to south to north migration, which is when people from developing countries move to developed countries.

Quiz 8: Global Stratification.