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From course:

Economics A Level (DONEEEEEEE)

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Question:

What are the Problems with using the Prebisch Singer Hypothesis?

Author: eric_galvao



Answer:

-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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