Which of the following is correct?
A. PRODY is a measure of the “quality” of a particular product.
B. EXPY is an analogous measure for the “quality” of a country’s export mix.
C. EXPY is calculated as the average of PRODY for all products a country exports, and is a good predictor of subsequent economic growth.
D. All of the above
Answer:D
Which of the following is correct?
A. PRODY is a measure of the “quality” of a particular product. B. EXPY is an analogous measure for the “quality” of a country’s export mix. C. EXPY is calculated as the average of PRODY for all products a country exports, and is a good predictor of subsequent economic growth. D. All of the above
Explanation: PRODY and EXPY are indexes that measure the quality of export mix or baskets. PRODY is a measure of the “quality” or “sophistication” of a particular product. EXPY is an analogous measure for the “quality” or “sophistication” of a country’s export mix or baskets. EXPY is calculated as the average of PRODY for all products a country exports, and is a good predictor of subsequent economic growth.