4. International Political Economy

Development Theory — Quiz

Test your understanding of development theory with 5 practice questions.

Practice Questions

Question 1

Which development theory posits that underdevelopment is a historical product of colonial exploitation and the integration of peripheral economies into a global capitalist system, leading to a continuous transfer of surplus value to core nations?

Question 2

The 'Prebisch-Singer hypothesis' suggests a long-term decline in the terms of trade for primary commodity producers relative to manufactured goods. This hypothesis provides significant theoretical support for which development strategy?

Question 3

Consider a low-income state that has recently implemented a series of economic reforms including the privatization of state-owned enterprises, reduction of trade barriers, and fiscal austerity measures. These policies are most characteristic of which major development approach?

Question 4

The concept of 'good governance' is increasingly emphasized in contemporary development theory. Which of the following is considered a fundamental pillar of good governance essential for sustainable economic development?

Question 5

A low-income state is considering implementing policies to promote its domestic manufacturing sector by imposing high tariffs on imported goods and providing subsidies to local industries. This strategy is most consistent with which development approach?