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Economic Base Analysis and Local Economy Division Quiz

#1

What does Economic Base Analysis primarily focus on?

Economic structure and development
Explanation

Analyzing the structure and development of the local economy.

#2

Which of the following is NOT a factor influencing the economic base of a region?

Climate conditions
Explanation

Climate conditions do not directly impact the economic base.

#3

What is the primary goal of Economic Base Analysis?

To identify key sectors driving local economic growth
Explanation

Identifying key sectors driving local economic growth is the primary goal.

#4

Which of the following is a characteristic of a diversified local economy?

Resilience to external shocks
Explanation

Diversified local economies are resilient to external shocks.

#5

What is the main purpose of a Local Economic Development (LED) strategy?

To create jobs and improve living standards
Explanation

The main purpose is to create jobs and improve living standards.

#6

What is the purpose of a Local Economy Division?

To analyze and support local businesses and industries
Explanation

Analyzing and supporting local businesses and industries is the primary goal.

#7

Which of the following is a characteristic of an export-oriented economy?

Diversified export products
Explanation

Having a variety of export products characterizes an export-oriented economy.

#8

What role does Economic Base Analysis play in urban planning?

Informing decisions about infrastructure investments
Explanation

It informs decisions on infrastructure investments in urban planning.

#9

What does the Shift-Share Analysis technique assess?

The contribution of industry-specific factors to employment changes
Explanation

It assesses the industry-specific contribution to employment changes.

#10

What is the significance of an economic base that consists primarily of non-basic industries?

It suggests vulnerability to external economic shocks
Explanation

It indicates vulnerability to external economic shocks.

#11

In Economic Base Analysis, what does the Location Quotient (LQ) measure?

The comparative advantage of a region in a particular industry
Explanation

LQ measures the region's advantage in a specific industry.

#12

Which of the following statements best describes the concept of economic base multiplier?

It measures the indirect and induced effects of changes in the economic base
Explanation

It measures the indirect and induced effects of changes in the economic base.

#13

Which of the following factors is NOT typically considered in a Location Quotient (LQ) analysis?

Cost of living
Explanation

Cost of living is not typically considered in LQ analysis.

#14

What is the significance of the economic base multiplier exceeding 1?

It signifies positive ripple effects of changes in the economic base
Explanation

An economic base multiplier exceeding 1 indicates positive ripple effects.

#15

What is the primary purpose of using Shift-Share Analysis in Economic Base Analysis?

To identify the sources of regional economic growth
Explanation

The primary purpose is to identify sources of regional economic growth.

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