Some factors currently exist that inhibit the growth rate of the Chinese economy.One reason that General Motors has been unwilling to bring its latest technology for building electric and hybrid cars to China is
A)the introduction of free-market reforms.
B)the introduction of the relatively new resource of entrepreneurship.
C)the lack of laws that predictably enforce property rights.
D)the total lack of governmental intervention in the market place.

Question

Quizplus · Accepted Answer

The lack of laws that predictably enforce property rights is a factor that currently inhibits the growth rate of the Chinese economy. This is because without strong property rights, companies may be hesitant to invest in research and development of new technologies, as they may not be able to protect their intellectual property. Therefore, General Motors may be hesitant to bring its latest technology for building electric and hybrid cars to China due to concerns over intellectual property theft.

Some Factors Currently Exist That Inhibit the Growth Rate of the Chinese