Economics Official Development Assistance Questions

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Question Description

Question 1

Explain the meanings of the following concepts 

(a) Demonstration effect 

(b) Transfer pricing 

(c) New International Economic Order

(d) Debt-service ratio

Question 2

From your readings of Todaro and Smith Chapter 14, what are the differences between official development assistance (public foreign aid) and private development assistance from nongovernmental organizations (NGOs)? Which type of aid is more desirable from the perspective  of recipient countries? Explain your answer.

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