Answer:
B) 1
Explanation:
The only idea that can actually help a poor country's economy to grow, is to:
- 3. Work to promote political stability in poor countries
Politically stable countries and specially democracies tend to achieve higher growth rates.
the other arguments were wrong because:
1. Prevent U.S. corporations from investing in poor countries because they take profits that the poor countries should have; <u>FALSE</u>, because foreign investment and trade benefits both rich and poor countries.
2. Not import goods from poor countries that use child labor; <u>FALSE</u>, unless economic conditions improve in countries that use child labor, not buying goods from them will only hurt them more.
4. Reduce poor countries’ reliance on market forces in their economies. <u>FALSE</u>, market economies tend to grow and develop faster than command economies.
The model is called SELECTIVE OPTIMIZATION WITH COMPENSATION.
Selective optimization with compensation is a method for successful aging which involves maximizing one's gains while one minimizes the impacts of losses that accompany aging.
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Are the sum of a company's profits, after dividendpayments, since the company's inception. They are also called earned surplus, retained capital, or accumulated earnings.
(EXAMPLE):
Let's assume Company XYZ has been around for five years. During this time, it reported the following net income:
Year 1: $10,000
Year 2: $5,000
Year 3: -$5,000
Year 4: $1,000
Year 5: -$3,000
Assuming Company XYZ paid no dividends during this time, XYZ's retained earnings equal the sum of its net profits since inception, or in this case, $8,000. In subsequent years, XYZ's retained earnings will change by the amount of each year's net income, less dividends.
The retained earnings statement summarizes changes in retained earnings for a fiscal period, and total retained earnings appear in the shareholders' equity portion of thebalance sheet. This means that every dollar of retained earnings means another dollar of shareholders' equity ornet worth.
A company's board of directors may apprompany's retained earnings when it want to restrict dividend distributions to shareholders. Appropriations are usually done at the board's discretion, although bondholders and other circumstances may contractually require the board to do so. Appropriations appear as a special account in the retained earnings section. When an appropriation is no longer needed, it is transferred back to retained earnings. Because retained earnings are not cash, a company mayfund appropriations by setting aside cash or marketable securities for the projects indicated in the appropriation.
Why its important
It is important to understand that retained earnings do not represent surplus cash or cash left over after the payment of dividends. Rather, retained earnings demonstrate what a company did with its profits.
Answer:
This quote highlights Adam Smith - Self Interest, Free Reign, Invisible Hand theories
Explanation:
Adam Smith is the Father of Economics.
His self interest theory states that : Individuals working for the best of self interest implies maximum welfare for society as a whole.
Hence, the free reign idea suggests that people as 'self interest' guided rational economic agents should be left free. The invisible hand of market restores any distortions.
Government intervention is considered to be not only unnecessary, but distortionary.