Question 1

The primary source of remittances is:

Accepted Answer

Remittances refer to the money sent by international migrants to their home country. Therefore, the primary source of remittances is international migrants. Option B, MNCs (Multinational Corporations), is incorrect as they typically invest in foreign markets rather than sending money back to their home country. Option C, transfer payments, refers to government payments such as social security and welfare, which are not considered remittances. Option D, private investors, also invest in foreign markets and do not typically send money back to their home country.

Question 2

Which of the following countries reaches the goal of giving ODA amounting to 0.7 percent of its GNI?

Accepted Answer

Norway is known for consistently meeting the international commitment to provide ODA amounting to 0.7 percent of its GNI. Germany and Spain have made progress towards this goal but do not consistently meet it. The United States has never met this goal.

Question 3

The only World Bank group institution that gives ODA, as the OECD defines the term, is the

Accepted Answer

IDA (International Development Association) is the World Bank group institution that gives Official Development Assistance (ODA), as defined by the OECD. The IBRD (International Bank for Reconstruction and Development) and IFC (International Finance Corporation) do not provide ODA as they do not focus on low-income countries, and the IMF (International Monetary Fund) primarily provides loans and does not provide ODA.

Question 4

Name the World Bank group focused on loans to the private sector:

Accepted Answer

The International Finance Corporation (IFC) is a member of the World Bank group and is the main institution responsible for providing loans to the private sector. While the other options (IBRD, IMF, and IDA) provide loans to governments, the IFC provides loans and other financial services directly to private companies in developing countries.

Question 5

ISI as a development strategy for LDCs was focused on

Accepted Answer

ISI (Import Substitution Industrialization) was a development strategy focused on encouraging domestic industries to produce goods that were previously imported, to decrease dependency on foreign products and boost domestic industrial growth. It aimed to shift the LDCs' economy towards industrialization and away from traditional agricultural practices, which were believed to be insufficient at providing economic growth. Therefore, the correct option is B, industrialization.

Question 6

The region most closely associated with ISI was

Accepted Answer

ISI, or Import Substitution Industrialization, is a trade and economic policy that advocates replacing foreign imports with domestic production. It was most closely associated with Latin America, particularly from the 1930s through the 1980s, as countries in this region sought to reduce their dependence on foreign goods and develop their own industrial sectors.

Question 7

East Asia's strategy contrasted with Latin America by emphasizing:

Accepted Answer

East Asia's strategy emphasized export development, while Latin America relied more on internal markets and increasing linkages from commodities. Labor migration was not a significant part of either region's strategy.

Question 8

The "developmental state" is a concept closest to which theorists?

Accepted Answer

The "developmental state" concept is closely associated with neomercantilists, who emphasize state intervention in the economy to promote industrialization and economic growth.

Question 9

The Washington Consensus was

Accepted Answer

The Washington Consensus was a set of policies advocated by the US Treasury Department, the International Monetary Fund (IMF), and the World Bank in the late 1980s and early 1990s. These policies emphasized the need for LDCs to adopt free-market economic policies, remove trade barriers, and privatize state-owned enterprises. The underlying belief of the Washington Consensus was that democratic government and a dominant private sector would lead to prosperity. While there was some recognition that the policies might have different implications for countries at different stages of development, overall the Washington Consensus promoted a one-size-fits-all approach to economic development.

Question 10

The strongest supporters of IMF and World Bank structural adjustment programs were

Accepted Answer

IMF and World Bank structural adjustment programs are based on liberal economic principles of free market, deregulation, and privatization. Orthodox liberals strongly believe in these principles and advocate for their application in economic policy. Therefore, they are the strongest supporters of these programs.

Question 11

LDC women face many challenges because

Accepted Answer

LDC women often face the challenge of having to spend a significant amount of time on unpaid subsistence work, such as caring for children and household chores, which leaves little time for paid employment or education. This limits their opportunities for economic empowerment and social mobility. Additionally, they often lack access to resources and education, which further limits their ability to improve their situation. While some LDC women do work outside the home, such as in agricultural production, this is not the sole or primary challenge they face.

Question 12

World Bank President Robert McNamara was closely associated with

Accepted Answer

Robert McNamara is closely associated with the basic needs approach to development aid, which focuses on meeting the basic needs of the poorest and most vulnerable populations. This approach was a departure from the traditional approach of focusing on economic growth and infrastructure development. McNamara believed that development aid should directly benefit the people and improve their quality of life.

Question 13

The Grameen Bank is a model for:

Accepted Answer

The Grameen Bank is a microfinance organization that provides small loans to impoverished individuals, primarily women, to start businesses and improve their economic conditions. This model has been replicated in various countries and has been recognized as an effective tool for poverty reduction and increasing gender equity. However, it is not directly related to trade adjustment.

Question 14

The Comprehensive Development Framework and the Poverty Reduction Strategy Papers both

Accepted Answer

The answer of The Comprehensive Development Framework and the Poverty...

Question 15

Global ODA is about ¼ of total FDI.

Accepted Answer

There is no direct comparison between global ODA (official development assistance) and FDI (foreign direct investment) as they are two different types of financial flows. They serve different purposes and have distinct characteristics. Therefore, it is not accurate to say that global ODA is about ¼ of total FDI, or vice versa.

Question 16

Most donors meet their ODA targets in terms of aid/GDP.

Accepted Answer

According to the OECD, only a few donors have met the target of 0.7% of their gross national income (GNI) for Official Development Assistance (ODA).

Question 17

Since most of the goals of the MDGs were met, the SDGs were adopted to push forward on new challenges.

Accepted Answer

The SDGs were adopted not only because of new challenges but also because many of the MDGs' goals were partially met or not met at all, necessitating a more comprehensive and ambitious set of goals to address ongoing and emerging global issues.

Question 18

The United States has enough votes to wield control of the World Bank.

Accepted Answer

The United States is the largest shareholder in the World Bank, but it does not have enough votes to unilaterally control the institution. Decisions typically require a broad consensus among member countries.

Question 19

ISI was a failure in terms of development progress from its introduction in in the 1950s.

Accepted Answer

Import Substitution Industrialization (ISI) had varying degrees of success in different countries; while it led to the establishment of domestic industries and reduced dependence on imports in some regions, it also faced challenges such as inefficiency and lack of competitiveness in others. Overall, it cannot be universally labeled a failure in terms of development progress.

Question 20

Under socialism in the 1960s, Tanzania was able to improve health and education outcomes.

Accepted Answer

Tanzania's socialist policies, which included the nationalization of industries and the establishment of rural cooperatives, led to significant improvements in health and education outcomes during the 1960s. The government invested heavily in public services like healthcare and education, leading to increases in literacy rates and life expectancy. However, these gains were not sustained in the years that followed.

Quiz 11: International Development