Question

In a transitioning economy, what is a downside of rapid economic growth?

Rapid economic growth can be difficult to regulate.
Rapid economic growth benefits only the wealthy.
Rapid economic growth usually leads to a crash.
Rapid economic growth may stifle cultural growth.

Answer 1

Rapid economic growth can be difficult to regulate.

Explanation: In a transitioning economy institutions and regulatory frameworks often lag behind fast growth, leading to problems like environmental damage, corruption, financial instability, and widening inequality.