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Mexico Test Bank- Public Policy A low Gini coefficient indicates that a country has a low overall GNP -more equal income or wealth distribution a low average PPP per capita high levels of income inequality lower corruption in the government Mexico has a high Gini coefficient of .50 which means that the country has a middling GNP per capita is developing has a middling HIDI score -has great deal of inequality is an illiberal democracy Gini index is a measure primarily used to compare countries with respect to their level of development democratization -economic equality freedom civil society GDP is a measure used to compare countries with respect to average cost of living general health of citizens efficiency of bureaucracies -output of economies degree of professionalism of military Purchasing Power Parity (PPP) per capita is different from GNP per capita in that it takes into consideration levels of income inequality adult literacy rates -what people can buy using their income in the local economy the overall size of national production life expectancy rates One strategy adopted in Mexico and in many Third World countries to build up domestic industry is called -Import substitution Structural adjustment Globalization Neoliberalism Shock therapy Many supranational trade agreements require this policy Import substitution -Structural adjustment Globalization Multiparty competition Austerity The World Bank and International Monetary Fund (IMF) usually Insists on effective public health programs Encourages production of food crops Keeps corruption at a low level Requires reinvestment within Third World countries rather than export of profits -Insist on structural adjustment policies Which of the following explanations for the lack of development in a modern country is most likely based on dependency theory? The country has few natural resources and those that is has are poorly used. The political and economic leaders are corrupt. Traditional values hamper development The country has not enlisted the aid of a more developed country. -The country has been blocked by the greed of more developed countries. NAFTA has been criticized by many in the U.S. and Canada for requiring minimum wages that are too high for most businesses to afford hurting trade with Mexico imposing pollution standards that discourage Mexican production imposing unnecessary tariffs -leaving U.S. and Canadian workers without jobs The current Mexican government most fears China in regard to its massive military power human rights abuses -potential to take maquiladora jobs from Mexico growing population massive overuse of available resources such as coal and oil Foreign owned factories near Mexico’s northern borders are called Gobernacions Camrillas Sexenos -Maquiladoras Parastatls Which of the following is an important advantage of U.S. corporations that advocated their manufacturing plants in Mexico? -lower costs of labor lower transportation costs greater access to raw materials greater access to markets more pleasant climate conditions Which of the following is an example of a parastatal in Mexico? NAFTA -PEMEX Hacienda Chiapas Zapata The best known parastatal in Mexico is GATT NAFTA -PEMEX IFE EXLN A good example of a Mexican para-statal is The federal Election Commission NAFTA -PEMEX The Confederation of Employers of the Mexican Republic Educational Workers’ Union All of the following are public policies introduced in Mexico EXCEPT Tortilla price subsidies Free trade with North America Peso devaluation -Flat tax Bank nationalization Which of the following areas of Mexico has seen the most dramatic spike in drug related violence since 2007? Chiapas -Ciudad Juarez the Yucatan Peninsula Mexico City Oaxaca Most accusations of corruption among Mexican police officers stems from their involvement in immigration disputes international terrorist organizations unlawful arrests -drug trafficking the oil industry In recent years, the Mexican government has relied on military help to facilitate trade across the U.S. border protect oil reserves -combat drug trafficking promote health and education services safeguard honest and accurate election results All of the following are part of judicial reform in Mexico EXCEPT Constitutional Amendment Public Trials -Oral Trials State level reform Reductions in warrant requirements