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6. What type of aid has to be paid back?
- Bilateral aid
- Loan aid
- Tied aid
- Multilateral aid
7. What is an example of an inward looking development strategy?
- Import substitution
- Encouraging investment
- Trade liberalisation
- Abolising minimum wage
8. What is a disadvantage of fair trade schemes?
- Encourages dependency
- More money to producers
- Better infrastructure
- Distortion of markets
9. What is an example of an outward looking strategy?
- Microfinance
- Subsidies
- Trade liberalisation
- Regulation
10. What is it called when a country is dependent on the export of one commodity?
- Primary product dependency
- Export reliance
- Export led growth
- Savings gap
11. What is it called when government seeks to further its own interest rather than that of the people?
- Bureaucracy
- Corruption
- Ministerial responsibility
- Clientelism
12. What does the Lewis model depict?
- Tourism development
- Industrialisation
- Agricultural development
- Investment
13. Why is the savings gap a limit on growth and development?
- It creates inequality
- It prevents the appreciation of a currency
- It prevents investment in capital
- It causes unemployment
14. What country has developed on the basis of primary product dependency?
15. What can overfocus on one sector of the economy cause in terms of development?
- Economies of scale
- Sectoral imbalance
- Economic growth
- Crowding out