1. What impact do natural resources have on economic growth? Will it be possible for a country with few natural resources to grow rapidly? Why or why not.
2. Suppose you have just been appointed to a high level position in the economic analysis unit of the State Department. The secretary of state has asked you to prepare a memo describing the key policies and economic arrangements that a specific less developed country should follow in order to achieve rapid growth and higher income levels. During your research, you discover that multiple Christian aid organizations have been working in the country to assist the local population. Briefly describe your response (2–3 paragraphs). Be sure to indicate why each factor you mention is important if a nation is going to attain a high level of economic progress.
3. Using the most recent available rankings of Economic Freedom available at http://www.heritage.org/index/ranking, indicate five of the world’s economies that are the most free. Using textbook information, indicate how income levels and growth rates of freer economies compare with those that are less free.
4. Has the United States become more or less economically free during the past decade? What impact will this have on the future economic growth of the United States?
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