10. Which of the following factors potentially increased the vulnerability to the 1997 Asian financial and currency crisis?

a. trade account surplus.

b. massive reverse outflows of capital.

c. technological transfer from DCs.

d. symmetric information in financial market.

11. Initial conditions in the year before the crisis in Thailand, Indonesia, Malaysia, the Philippines, and Korea in 1997 indicate that

I capital inflows/GDP were very low.

II nonperforming bank loan ratios were high.

III current account deficits were high.

IV credit growth was fast.

a. I and IV only.

b. II and III only.

c. I, II, and III only.

d. II, III and IV only.

12. Shortly after 1979, World Bank introduced loans that emphasized reforms in trade, agriculture, industry, public enterprise, finance, energy, education, or other sectors and were known as

a. structural adjustment loans.

b. sectoral adjustment loans.

c. internal adjustment loans.

d. external leverage loans.