Graph 1 above illustrates the growth patterns of several Asian economies and Latin American economies (till 2013). According to the figure, which of the following statement is NOT true?a.All of the countries in this Figure have fallen into the Middle-income Trapb.The Latin American countries in this Figure have fallen into the Middle-income Trapc.China’s trajectory has so far outstripped even that of Taiwan and Koread.Thailand’s trajectory is comparable to the initial growth path of countries like Brazil and Mexico

Which of the following statements about ‘Middle Income Trap’ (MIT) is INCORRECT?A.One of key reasons why many economies struggled in MIT is a loss of comparative cost advantage (labour, land, etc)- i.e. their secret of fast growth from low- to middle-income level.B.It is highly debatable whether China has been caught in MIT, since China has only become a middle-income country for 15 years.C.Transition from low income to middle income (per capita GDP is greater than USD3000 in PPP term) has happened recently in many Asian countries, including China.D.Transition from middle income to high income (per capita GDP is greater than USD13,000 in PPP term) has happened recently in many Asian countries, including China.

Which of the following would indicate economic growth has declined?Elimination ToolSelect one answerAThe money supply curve shifts to the right.BThe long-run aggregate supply curve shifts to the left.CThe aggregate demand curve shifts to the right.DThe short-run Phillips curve shifts to the left.EThe money demand curve shifts to the left.

Economic Growth

Which of the following statements is NOT true regarding globalisation and inequality and poverty?Question 8Select one:a.Per capita income has decreasedb.There has been declining poverty in Indonesia, India and Chinac.There has been a global increase in the wealth of the middle class (especially in countries such as China and Brazil)d.Fierce global competition is driving MNEs to a 'race to the bottom' resulting in the erosion of labour standards and rights

Question 1Go to the World Development Indicators (http://data.worldbank.org/indicator/) and click on the graph for “GDP growth (annual %)”. Add Low income and High income under "Country/Region/Income level". True/False: Over time (2004-2013) and on average, low income countries have lower annual GDP growth than high income countries.1 pointTrueFalse