5. (a) Discuss how economic development in less developed countries (LDCs) might be promoted: (i) by their own governments; (ii) by foreign governments / agencies. (b) (i) Discuss THREE economic benefits of economic development to LDCs. (ii) Discuss THREE economic costs of economic development to LDCs. (c) Discuss steps which could be taken to solve the debt crisis which LDCs are experiencing3. (a) (i) State the Law of Diminishing Marginal Returns. (ii) Using the table below, state after which level of employment diminishing marginal returns set in. Explain your answer. Number of persons employed 2 3 4 5 Total Output (in units) 14 30 50 64 76 Marginal Output (in units) 14 (b) The short-run average cost curve of a firm initially slopes downwards and afterwards slopes upwards. Explain why this is the pattern of short-run average costs. (c) It is generally agreed that the long-run average cost curve initially slopes downwards due to economies of scale and then slopes upwards due to diseconomies of scale. These economies and diseconomies can be both internal and external. (i) Define the underlined terms. Distinguish between internal and external economies of scale, giving TWO examples in each case. (d) While there can be advantages from producing on a large scale, the majority of firms in Ireland are small. Explain THREE reasons why small firms survive in the Irish economy. 4. (a) In relation to the factor of production Enterprise: (i) Distinguish between insurable risks and non-insurable risks and state TWO examples in each case. (ii) Explain TWO reasons why 'enterprise' is considered to be a unique factor of production. (b) (i) Explain what is meant by the term Marginal Efficiency of Capital (MEC). (ii) Discuss FOUR factors, other than MEC, which influence the level of investment by entrepreneurs. (c) Discuss the role of profits in promoting development in a modern market economy