kindly refer to the data below.

1. The following is a goal of economic development except ? A) Increase in emigration B) Reduction of poverty C) Improvement of human capital D) Economic growth 2 . , and are considered outflows in the economy while , , and are the inows. A) Export, Import, Taxes; Government Expenditure, Consumption, Investment B) Government Expenditure, Saving, Export; Import, Taxes, Investment C) Savings, Import, Taxes; Government Expenditure, Export, Investment D) Export, Investment, Government Expenditure; Taxes, Savings, Imports 3. If the Philippine peso depreciates in the foreign-exchange market, which of the following will occur? A) The price level in the Philippine peso will decrease. B) Philippine exports will increase. C) Goods produced in the Philippines will become more expensive in foreign countries. D) The Philippines demand for imports will increase. 4. A country whose GDP per capita growth is 0 means A) there is perfect inequality B) A country that has a high GDP per capita growth C) A Gini Coefficient of 0 D) there is perfect equality 27. The unemployment rate is the A) unemployed divided by employed B) labor force divided by population 0) total employment divided by population D) employed plus unemployed divided by labor force 28. Zero marginal productivity of labor was the concept of A) marginal rate of substitution B) substitution of leisure and work among labor 0) limited technical substitutability of factors D) labor force literacy 29. Which among the following statement is not a possible cost of high fertility rates and rapid population growth? A) increased urbanization and congestion B) a higher labor force growth rate and higher unemployment C) a working population that must support a larger number of dependents D) increasing returns to natural resources, with a direct impact on average food consumption 30. The following are consequences of growing agricultural commercialization except A) An increase in rural poverty B) An increase in the number of landless laborers C) Workers\" nutrition is reduced D) Women gain in decision making power 31. Lewis describe the traditional agricultural sector as A) A sector with highly educated but low productivity labor B) A sector with full employment and therefore producing at the full employment output C) A sector with low productivity, high unemployment, low incomes, and low savings D) A sector which might help to elevate the livelihoods of the people involved 32. The following is true about agriculture's role in economic development except A) Source of industrial raw materials B) Provides a market for nonagricultural commodities C) Provides labor for nonagricultural sector D) None of these 33. Which of the following is an example of preventive checks according to Thomas Malthus. A) Deferred marriage B) Famine C) Abortion D) All of the above 34. TRUE or FALSE: The Gini coefficient of inequality at first rises, then falls as migration takes place A) True B) False C) Neither true nor false D) Uncertain 35. In Economics, the minimum wage is an example of a A) price ceiling B) equilibrium price C) price oor D) market price 36. TRUE or FALSE: The absolute poverty line varies with the Gini coefcient. A) True B) False C) Neither true nor false D) Uncertain 37. In the Harris-Todaro model, when migrants are risks averse, the expected urban wages, equilibrium, will be the rural wage rate. A) less than B) proportional to C) equal to D) greater than 38. The following are the most basic needs of humans except A) minimal levels of nutrition B) provision of basic health care C) basic transportation, such as bicycles D) minimal provision of shelter 39. The 'L' shaped isoquants implies the following except A) increasing returns to scale B) that inputs are used in fixed proportions C) no substitution between inputs D) None of these 40. TRUE or FALSE: The endogenous growth model confirms the neoclassical model's implications about convergence. A) True B) False 0) Neither True nor False D) Uncertain 41. Echo is an Economics major graduate. After searching forjob for almost a year, he decided to study reexology. Joseph is A) Frictionally unemployed B) Structurally unemployed C) Cyclically unemployed D) Underemployed 42. TRUE or FALSE: PPP is GDP divided by exchange rate. A) True B) False C) Neither True nor False D) Uncertain 43. Choose the best answer. A) capitalism relies on consumer satisfaction to dictate choices and socialism relies on producer satisfaction. B) capitalism exploits the worker and socialism exploits the property owner C) capitalism relies on the market to make economic decisions and socialism uses central planning. D) capitalism grows through rent seeking and socialism grows through government direction. 44. A production function is defined as A) depicts the relationship between input and output. B) shows the dependency output of the working population. C) is a function of natural resources in a country. D) states the relationship between products and income distribution. 45. In business cycle, when an economy reaches boom A) imports are likely to fall B) demand is likely to fall C) prices are likely to fall D) unemployment is likely to fall 46. In order to boost economic growth, the government needs to A) Increase interest rates B) Increase taxation rates C) Provide incentives to invest D) Provide incentives to save 47. TRUE or FALSE: Frictional unemployment in an unemployment created by some long term change in demand or technological conditions in an economy A) True B) False C) Neither True nor False D) Uncertain 48. TRUE or FALSE: Leontief model makes the assumption of constant savingincome ratio. A) True B) False C) Neither True nor False D) Uncertain 49. The following denotes underdeveloped economy except A) High level of inequalities B) Low level of capital productivity C) A relatively closed economy D) None of these 50. An open economy is best describe by A) export activities B) import activities C) Economy opened to the world D) Deficit financing 5. Which of the following describes why income inequality is bad for economic development? A) Income inequality reduces the pool of people with resources, such as education, to improve productivity. B) Income inequality may threaten political stability, because people are dissatisfied with their economic situation and place blame on political authorities. C) Income inequality may encourage commitment amongst people in the marketplace, making contracts enforcement difficult. D) only A and B 6. Karl Marx believed that economic development should be led by A) capitalists B) the state C) religious leaders D) entrepreneurs 7. Amartya Sen define poverty as A) The lack of supportive social institutions to ensure ones basic livelihood B) The lack of material well- being C) The deprivation of basic capabilities for an individual 8. If the government is to follow the suggestions of the HarrodDomar model A) By promoting technologies which help firms to produce more output with less capital (lowering the capital to output ratio) B) By discouraging savings C) By beginning to use stateowned enterprises D) None of these 9. Freedom is the principal end of development according to A) Robert Solow B) Henry Harrod C) Walt Rostow D) Amartya Sen 10. The economic development progress of the People's Republic of China (PRC) can be described by which economic development model? A) HarrodDomar model B) Lewis model C) Solow Growth model D) all of the above 11. Economic development refers to A)economic growth. B)economic growth plus changes in output distribution and economic structure. C)improvement in the wellbeing of the urban population D) sustainable increases in Gross National Income 12. Which of the following constitute preconditions for takeoff under the Rostow's Model? A) development of one or more manufacturing sectors with a high growth rate B) investment rate of at least 10% of GNI C) universal primary education D) Both B and C 13. In a competitive economy, a worker earns an income equivalent to A) the substitutability of labor to capital B) the amount of brain drain C) marginal utility D) marginal product 14. is the emigration of highly-skilled people from the developing countries A) labor degradation B). brain drain 0) human capital deterioration D) productivity 15. Which of the following is not a capital good? A) inventories B) plant and equipment C) buildings 15. Which of the following is not a capital good? A) inventories B) plant and equipment C) buildings D) consumer goods 16. According to Thomas Malthus' s theory, population A) increased geometrically, outstripping food supply, which grew arithmetically B) increased stagnantly with food supply and economic development C) increased disproportionately, surpassing agricultural production D) increased proportionally to economic growth 17. According to the Solow model, if net investment is positive, then the economy is its steady state level, and output growth is A) below; positive B) above; negative C) above; positive D) below; negative 18. A population with zero growth rate is known as A) stable population B) staggered population 0) stationary population D) stripped population 19. The following statement about rural and agricultural development is untrue except A) China's rural population receives little income from nonfarm income. B) Household nonfarm income is uncorrelated to farm productivity and household incomes in Kenya. C) The agrarian community requires a full range of services such as schools, merchants; banks, and so on. D) Rural development is the same as agricultural development. \f20. Which of the following line represents a country with the lowest inequality? A) Line A B) Line B C) Line C D) Line A and B 21. Line of development can be found in A) Line A B) Line C C) upward sloping straight line D) none of these 22. Which of the following is true about the specialized farm? A) Such a farm is labor intensive. B) Such a farm is the most advanced agricultural phase in a market economy C) Such a farm usually emphasizes cultivating staple crops D) Such uses advance technology, hence experiencing diseconomies of scale. 23. As economic development proceeds, income inequality tends to follow a(n) curve A) inverted U-shaped B) L-shaped C) S-Shaped D) convex