5. Study Questions and Problems #5 Do you agree with the argument that the rich nations are getting richer and the poor nations are getting poorer? No, because inevitably the rich nations will be getting poorer, and the poor nations will be getting richer. Yes, because all LDCs are caught in the vicious circle of poverty, whereas the economic growth in the rich countries is perpetual. ◇ Yes, because rich countries will inevitably distance themselves from the poor nations and cease providing any aid to take advantage of the cheap labor. ◇ No, because poor countries can attract foreign investment and foreign loans to break out of the vicious circle of poverty.
5. Study Questions and Problems #5 Do you agree with the argument that the rich nations are getting richer and the poor nations are getting poorer? No, because inevitably the rich nations will be getting poorer, and the poor nations will be getting richer. Yes, because all LDCs are caught in the vicious circle of poverty, whereas the economic growth in the rich countries is perpetual. ◇ Yes, because rich countries will inevitably distance themselves from the poor nations and cease providing any aid to take advantage of the cheap labor. ◇ No, because poor countries can attract foreign investment and foreign loans to break out of the vicious circle of poverty.
Chapter23: Growth And Less Developed Countries
Section: Chapter Questions
Problem 9SQP
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Transcribed Image Text:5. Study Questions and Problems #5
Do you agree with the argument that the rich nations are getting richer and the poor nations are getting poorer?
No, because inevitably the rich nations will be getting poorer, and the poor nations will be getting richer.
Yes, because all LDCs are caught in the vicious circle of poverty, whereas the economic growth in the rich countries is perpetual.
◇ Yes, because rich countries will inevitably distance themselves from the poor nations and cease providing any aid to take advantage of
the cheap labor.
◇ No, because poor countries can attract foreign investment and foreign loans to break out of the vicious circle of poverty.
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