Question

Question 1
A)
A foreign direct investment can only come from

(1 point)
Responses

a microfinancier.

a microfinancier.

a large transnational foreign company.

a large transnational foreign company.

a non-government organization.

a non-government organization.

the World Bank.

the World Bank.

the IMF.

the IMF.
Question 2
A)
Which pairing of activity and WB organization is correct?

(1 point)
Responses

IDA—lends only against commitments to austerity

IDA—lends only against commitments to austerity

IBRD—lends money from the sale of public institutions

IBRD—lends money from the sale of public institutions

IBRD—finances efforts to stabilize a nation’s currency

IBRD—finances efforts to stabilize a nation’s currency

IDA—implements transportation and social service projects

IDA—implements transportation and social service projects

IDA—supports high-risk poor countries

IDA—supports high-risk poor countries
Question 3
A)
World Bank assistance goes largely to countries in

(1 point)
Responses

East Asia.

East Asia.

sub-Saharan Africa.

sub-Saharan Africa.

Latin America.

Latin America.

Europe.

Europe.

North America.

North America.
Question 4
A)
The biggest problem faced by developed countries in financing development is

(1 point)
Responses

finding trade opportunities with developing countries.

finding trade opportunities with developing countries.

the risk of borrowers defaulting on loans.

the risk of borrowers defaulting on loans.

their inability to provide large loans.

their inability to provide large loans.

promoting dependency.

promoting dependency.

currency inflation.

currency inflation.
Question 5
A)
Stimulus programs

(1 point)
Responses

target cuts in private industry payroll.

target cuts in private industry payroll.

introduce furlough days in private firms.

introduce furlough days in private firms.

introduce new taxes on water and electricity.

introduce new taxes on water and electricity.

increase government spending on infrastructure.

increase government spending on infrastructure.

target the dissolution of unions.

target the dissolution of unions.

Answers

GPT-4o mini
Here are the suggested answers to the questions:

**Question 1:**
A foreign direct investment can only come from
**Response:** a large transnational foreign company.

**Question 2:**
Which pairing of activity and WB organization is correct?
**Response:** IDA—supports high-risk poor countries.

**Question 3:**
World Bank assistance goes largely to countries in
**Response:** sub-Saharan Africa.

**Question 4:**
The biggest problem faced by developed countries in financing development is
**Response:** the risk of borrowers defaulting on loans.

**Question 5:**
Stimulus programs
**Response:** increase government spending on infrastructure.

Make sure to check these responses against your course material to ensure accuracy.

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