Suppose a project results in a net stream of $200 per year for 4 years, but nothing thereafter, Assume that the discount rate is 5 percent. The discounted value of the total income stream over the 4-year period is ?

A. 800
B. 40,000
C. More than zero but less than 800
D. Less than zero

Which of the following is not a nature public monopoly ?

A. Mobile phone
B. Electricity
C. Water supply
D. Postal service

A case when internal economies of scale bring about a continuously falling average cost curve that makes having more than one firm in an industry inefficient is illustrative of ?

A. A natural monopoly
B. An ldc’s limit of one firm to an industry
C. An individual firm facing a horizontal (perfectly elastic) demand curve in ldcs
D. The existence of oligopoly

In the long run, expanding educational and training facilities, transportation and communication and other infrastructure in LDCs should increase ?

A. Productivity paradox
B. Absorptive capacity
C. The residual
D. Uncertainly

In low-income countries the average agricultural family produces a surplus ?

A. Enough to supply only a small nonagricultural population
B. Of zero
C. Large enough of feed five other families
D. Large enough to feed 25 other families

What is the ratio of population density of developing countries to the population of developed countries ?

A. 10
B. 2
C. No more than 1
D. 20

Dual economies are countries ?

A. With double capital and labor/
B. With a modern manufacturing sector as well as traditional agriculture sector
C. That specialize in labor intensive products more than capital intensive products
D. With foreign owned and domestically owned capital

A dual economy is distinguished from other economies by having ?

A. An industrial sector and a manufacturing sector
B. A traditional agricultural sector and a modern industrial sector
C. State owner ship of the means of production
D. An industrial sector that concentrates on manufacturing and construction

Canada France, Germany, Italy, Japan, The United Kingdom and United States are ?

A. G-7 countries
B. Countries with highest productivity growth in the world since 1960
C. Countries with decreasing tfp growth since 1990s
D. Countries with the lowest information technology equipment and software index prices

James Pickett D. J. C. Forsyth, and N. S McBain on the basis of field research in Africa, concluded that business people often want to use the most advanced design without knowing that it may not be the most profitable. They attribute this attitude to ?

A. Maximum capital absorption
B. Factor price distortions
C. Engineering mentality
D. Intermediate technology