Whichof the following is the main reason for engaging private-sector companies in delivering public services?

a.

Thegovernment wishes to rein in the size of the state.

b.

Theservice can be delivered more efficiently and cheaply.

c.

Thegovernment wishes to see private-sector companies make bigger profits.

d.

Theservice will be a higher standard.

All but which one of the following is likely to be a source of political risk in large emerging economies?

a.

Political instability

b.

Establishedand testeddemocratic institutions

c.

Poor governance and weak governmental accountability

d.

Social and ethnic divisions

Whichof the following is likely to occur when anextreme populist party wins electionsand takes control of the government in a. democratic political system?

a.

Thedemocratic constitutional processes will come under strain from the executive.

b.

Thepopulist leader will unify the country.

c.

The new populist government will adopt a. more co-operative policy in foreign relations.

d.

Peoplewill receive greater welfare-state support.