Convergence can be seen in the data of all countries together if one holds constant:
A)the degree that democracy is maintained.
B)changes in the terms of trade.
C)the average rate of inflation.
D)all of the above.

Question

Quizplus · Accepted Answer

Holding constant the degree of democracy, changes in terms of trade, and average rate of inflation can help in analyzing the convergence in the data of all countries. Any change in these variables can affect the economic growth rate and thus, makes it difficult to observe the convergence trends. Therefore, all of the above factors should be controlled while analyzing the convergence among countries.

Convergence Can Be Seen in the Data of All Countries