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GWD-30-Q35-Q37

 (The following was excerpted frommaterial written in 1988.)

1.  

         For over a decade the

          most common policy advice

          given to developing countries

   Line
                                       by international development

     (5)      institutions has been to copy

   the export-oriented path of the

   newly industrializing countries,

   the celebrated NIC’s.  These

   economies—Brazil, Hong

    (10)      Kong, Mexico, Singapore,

   South Korea, and Taiwan—

   burst into the world manufac-

   turing market in the late 1960’s

   and the 1970’s; by 1978 these

    (15)      six economies, along with India,

   enjoyed unequaled growth

   rates for gross national product

   and for exports, with exports

   accounting for 70 percent of

    (20)      the developing world’s manu-

          factured exports.  It was,

          therefore, not surprising that

   dozens of other countries

   attempted to follow their model,

    (25)      yet no countries—with the pos-

   sible exceptions of Malaysia

   and Thailand—have even

   approached their success.  In

   “No More NIC’s,” Robin Broad

    (30)      and John Cavanagh search for

   the reasons behind these fail-

   ures, identifying far-reaching

          changes in the global econ-

   omy—from synthetic substitutes

    (35)
                                           for commodity exports to

   unsustainable levels of foreign

   debt—as responsible for a glut

   economy offering little room for

         new entrants.  Despite these

    (40)     changes, the authors maintain,

   the World Bank and the Inter-

   national Monetary Fund—the

   foremost international devel-

   opment institutions—have

    (45)      continued to promote the NIC

   path as the way for heavily

   indebted developing countries

   to proceed.  And yet the futility

   of this approach should,

    (50)      according to the authors, be

   all too apparent so many years

   into a period of reduced growth

   in world markets.

   --------------------------------------------------------------------------------

   Q35:

   Given the information in the passage, which of the following is a true statement about the NIC’s?

                

   1. Their economic success among developing countries has been exceeded only by the successes of Malaysia and Thailand.
   2. By 1978 they produced 70 percent of the world’s manufactured exports.
   3. In the late 1970’s, their growth rates for gross national product were among the highest in the world.
   4. In recent years their development has been heavily subsidized by major international development institutions.
   5. They received conflicting policy advice from international development institutions in the late 1960’s and the 1970’s.

   Answer:

   --------------------------------------------------------------------------------

   Q36:

   The author of the passage most clearly implies that Broad and Cavanagh disagree with the World Bank and the International Monetary Fund about which of the following?

                

   1. The ways in which the global economy has changed in recent years
   2. The causes of the unsustainable levels of foreign debt that the developing countries have incurred in recent years
   3. The level of foreign debt that should be maintained by developing countries
   4. The degree to which international development institutions should monitor the growth of developing countries
   5. The degree to which heavily indebted developing countries should emphasize exports in their overall economic strategy

   Answer:

   --------------------------------------------------------------------------------

   Q37:

   The author mentions Malaysia and Thailand in order to

                

   1. acknowledge the appearance of implausibility in a broad claim
   2. concede the possible existence of counter-examples to a generalization
   3. offer additional evidence in support of a disputed conclusion
   4. illustrate the broad applicability of a hypothesis
   5. admit the limited scope of a standard analysis

   Answer:

1.  

         For over a decade the

          most common policy advice

          given to developing countries

   Line
                       by international development

     (5)      institutions has been to copy

   the export-oriented path of the

   newly industrializing countries,

   the celebrated NIC’s.  These

   economies—Brazil, Hong

    (10)      Kong, Mexico, Singapore,

   South Korea, and Taiwan—

   burst into the world manufac-

   turing market in the late 1960’s

   and the 1970’s; by 1978 these

    (15)      six economies, along with India,

   enjoyed unequaled growth

   rates for gross national product

   and for exports, with exports

   accounting for 70 percent of

    (20)      the developing world’s manu-

          factured exports.  It was,

          therefore, not surprising that

   dozens of other countries

   attempted to follow their model,

    (25)      yet no countries—with the pos-

   sible exceptions of Malaysia

   and Thailand—have even

   approached their success.  In

   “No More NIC’s,” Robin Broad

    (30)      and John Cavanagh search for

   the reasons behind these fail-

   ures, identifying far-reaching

          changes in the global econ-

   omy—from synthetic substitutes

    (35)
                           for commodity exports to

   unsustainable levels of foreign

   debt—as responsible for a glut

   economy offering little room for

         new entrants.  Despite these

    (40)     changes, the authors maintain,

   the World Bank and the Inter-

   national Monetary Fund—the

   foremost international devel-

   opment institutions—have

    (45)      continued to promote the NIC

   path as the way for heavily

   indebted developing countries

   to proceed.  And yet the futility

   of this approach should,

    (50)      according to the authors, be

   all too apparent so many years

   into a period of reduced growth

   in world markets.

   --------------------------------------------------------------------------------

   Q35:

   Given the information in the passage, which of the following is a true statement about the NIC’s?

                

   1. Their economic success among developing countries has been exceeded only by the successes of Malaysia and Thailand.
   2. By 1978 they produced 70 percent of the world’s manufactured exports.
   3. In the late 1970’s, their growth rates for gross national product were among the highest in the world.
   4. In recent years their development has been heavily subsidized by major international development institutions.
   5. They received conflicting policy advice from international development institutions in the late 1960’s and the 1970’s.

   Answer:

   --------------------------------------------------------------------------------

   Q36:

   The author of the passage most clearly implies that Broad and Cavanagh disagree with the World Bank and the International Monetary Fund about which of the following?

                

   1. The ways in which the global economy has changed in recent years
   2. The causes of the unsustainable levels of foreign debt that the developing countries have incurred in recent years
   3. The level of foreign debt that should be maintained by developing countries
   4. The degree to which international development institutions should monitor the growth of developing countries
   5. The degree to which heavily indebted developing countries should emphasize exports in their overall economic strategy

   Answer:

   --------------------------------------------------------------------------------

   Q37:

   The author mentions Malaysia and Thailand in order to

                

   1. acknowledge the appearance of implausibility in a broad claim
   2. concede the possible existence of counter-examples to a generalization
   3. offer additional evidence in support of a disputed conclusion
   4. illustrate the broad applicability of a hypothesis
   5. admit the limited scope of a standard analysis

   Answer: