The economy in the African nation Sponeto has been stagnant for a long time. The government and central bank of Sponeto have been considering options for what can be done to help stimulate investment and growth in the economy. Some in the Sponeto government would like the country to appeal to the World Bank for funding toward economic development, rather than short-term monetary stimulation. Which of the following, if true, would strengthen the case for this course of action?

Question

Quizplus · Accepted Answer

Chronic and widespread poverty is the biggest economic problem in Sponeto, indicating a need for long-term development solutions rather than short-term monetary stimulation. Seeking funding from the World Bank for economic development would align with this need. The other options do not directly relate to the country's economic development, or may even detract from its case for receiving funding from international organizations.

The Economy in the African Nation Sponeto Has Been Stagnant