Question 49
Economic Growth and DevelopmentFor the improvement of the welfare of a people, a high production level is not enough because
- A.the have-nots deserve more than a fair share
- B.equitable distribution is necessary
- C.productive efficiency is vital
- D.savings in the country must be guaranteed at more than 50 per cent of income earned.
Show the answer and explanation
Answer: B (equitable distribution is necessary)
Explanation
A country may produce a lot, but if only a few people enjoy it, most people's welfare does not improve. Output must also be shared fairly.