Question:
What are the Problems with using the Prebisch Singer Hypothesis?
Author: eric_galvaoAnswer:
-As the Population Increases, there will be Greater Demand for Agricultural Products that can Push Prices up -Demand for some Primary Products, like Gold or Oil, are Income Elastic. And also Essential for the Developed World -If a Nation has a Comparative Advantage in making Primary Products, then it would be Inefficient to do something else
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