UNIVERSITY OF CEBU – BANILAD

COLLEGE OF BUSINESS & ACCOUNTANCY

BANILAD, CEBU CITY
PRELIMINARY EXAMINATION
Econ 225
Name Barbadillo, Cheryl Q. Course & yr. BSMA - 4 Schedule _8:30 – 10:00 am sat

Essay. Answer the following questions.

1. Why is economics central to an understanding of the problems of development?

Answer: Because a country's development is dependent on economic factors. Economics can
help you interpret how a country is developing, as well as the economic policies that
determine whether or not a country develops and how quickly it develops if it performs.
Economic teaches you how wealth and finance are distributed, as well as the causes and
effects of borrowing and lending. Development problems are like not having enough money;
economics teaches us about development problems, and we can better interpret these
problems by looking at the economic components that define the trouble.

2. Is the concept of developing world a useful one? Why or why not?

Answer: It is a useful one, it is a unique yet crucial addition to both political economy and
traditional economics. Development economics is primarily focused on the economic, social, and
institutional mechanisms required to quickly and broadly raise standards of living for the vast
majority of the poor in developing countries, even though it is also necessary to be concerned
with efficient resource allocation and the long-term growth of aggregate output.

3. What do you hope to gain from this course on development economics?

Answer: I hope to gain a better understanding of a number of critical questions about
developing-nation economies as a result of this economic development course. I hope to
understand the concept of development and why it is important.

4. Briefly describe the various definitions of the term development encountered in the text.
What are the strengths and weaknesses of each approach? Do you think that there are other
dimensions of development not mentioned in the text? If so, describe them. If not, explain
why you believe that the text description of development is adequate?
Answer: The book defines development as the process of improving the quality of all human
lives and capabilities by raising people's standards of living, self-esteem, and freedom. Each
nation has distinct economic development dimensions.

5. Why is an understanding of development crucial to policy formulation in developing nations?

Do you think it is possible for a nation to agree on a rough definition of development and
orient its strategies accordingly?
Answer: It is significant because, as I stated in my answer to question number one, a
country's development is determined by its economic policies, which determine whether or not
the country develops and how quickly it develops.

6. Why is a strictly economic definition of development inadequate? What do you understand

economic development to mean? Can you give hypothetical or real examples of situations in
which a country may be developing economically but may still be underdeveloped?
Answer: The strictly economic definition of development was insufficient because it did not
take into account factors other than financial or economic. I thought economic development
meant financial growth or an increase in output. India, which I chose for the group presentations,
is an example of a developed but still underdeveloped country because it produces a lot of goods
and services but many of its citizens live in poverty and there is still a high gender inequality.
7. How does the concept of “capabilities to function” help us gain insight into development
goals and achievements? Is money enough? Why or why not?
Answer: The ability to function provides us with a clear picture of development goals and
achievements by allowing us to determine how much freedom of choice a person has in their
country, making it a complete measure of growth. Money is insufficient to gain an
understanding of development goals and achievements because money does not help people
live longer lives and does not guarantee people's happiness.

8. What forces may be at work in giving the Millennium Development Goals such a high
profile in international economic relations?
Answer: The Millennium Development Goals are given through financial pressure. A nation
that receives a lot of financial incentives can borrow money more easily than a nation with poor
financial performance. And also, the forces helping the Millennium development goals such a
high profile in international economic relations international are financial incentives.

9. What critical issues are raised from the examination of development problems and prospects
facing Brazil? Answer:
Answer: Instead of the more general "growth without development," it might be more
accurate to say that Brazil has experienced some economic growth but not as much social
development. However, persistent racial disparities, unjust treatment of indigenous peoples, a
lack of access for the poor to fertile land, extremely high inequality and surprisingly high
poverty for its income level, and the risk that growth will prove ecologically unsustainable all
mean that Brazil will need to maintain its recent efforts to make social inclusion and human
development, as well as environmental sustainability, top priorities if it is to resume rapid
economic growth, let alone well off growth.

10. It has been said that ending extreme poverty and achieving genuine development are possible
but not inevitable and that this gives the study of economic development its moral and
intellectual urgency. What is meant by this? Comment and evaluate.
Answer: There is hope for ending poverty. Planning is necessary in order to promote
economic growth. However, moral and intellectual urgency must be taken into account in
this situation. Our society may descend into chaos if we make intellectual plans without
taking moral considerations into account.

Rubric on Essay.