tructions: Answer ALL questions. Provide answers that are clear and logical and supported by examples. 1. Define the following terms and concepts and explain their significance in the economics of developing countries. a. Economic institutions b. How low levels of living can turn into vicious cycles in developing countries. c. Property rights d. Poverty trap e. Rural-urban migration f. Informal sector g. Human capital h. Public goods - give two examples i. Externalities j. The tragedy of the commons

2. Provide a detailed explanation of the relationship between population growth and absolute poverty, female wages, rural-urban migration, availability of pensions, availability of healthcare, availability of education, and rate of investment.

3. In 2013 Jim Yong Kim, the World Bank President said, "To end poverty and boost shared prosperity, countries need robust, inclusive economic growth. And to drive growth, they need to build human capital through investments in health, education, and social protection for all their citizens". Critically analyze this statement.

4. Explain the following: a. How low levels of living can turn into a vicious cycle in developing countries. b. The distinction between low levels of living and low per capita incomes. Can low levels of living exist simultaneously with high per capita incomes? Gives some examples. c. The claim that many developing countries are subject to "dominance, dependence, and vulnerability" in their relations with rich nations. Give some examples.

d. The reasoning behind the argument that economic growth is a necessary but not sufficient condition to eradicate absolute poverty and reduce inequality. e. The Kuznets' inverted-U hypothesis. Discuss the conceptual merits and limitations of this hypothesis for contemporary developing countries. f. Why building more schools or sending more children to school might have a limited impact on economic development in poor countries. g. Some ways in which women empowerment is likely to affect gender inequality in developing countries. h. The Harrod-Domar model of economic growth. i. The Lewis two-sector model of economic growth. j. Why eliminating child labour is an economic investment. k. Why the education of girls is probably the most cost-effective development investment.

5. Write brief essays on each of the following: a. What are the principal reasons for the relative stagnation of developing-country agriculture in Africa? How can this disappointing performance be improved on in the future? b. What role should the government play with respect to the agricultural sector in developing countries in their attempt to alleviate poverty? c. The meaning of Gunnar Myrdal statement that, "It is in the agricultural sector that the battle for long-term economic development will be won or lost". d. What can developed countries can do to respond constructively to the environmental damage being done in developing countries. e. How global warming and climate change will adversely impact the "poor," particularly in developing nations? f. The environmental Kuznets' curve.