1. What does the Gini coefficient measure? What is the range of it? How can we interpret it?
2. What is the difference between GDP per capita and GDP per capita “at PPP”? How are they measured? Identify the acronyms GDP and PPP in your answer.
3. Identify the key arguments of the market-led approach to political economy. Make sure to include Adam Smith’s argument. Why are some in support of the approach? Be as specific as possible.
4. What are the arguments behind the idea that the state can promote development better than the market? Be as specific as possible.
5. What are some of the key tasks undertaken by a modern welfare state? List and explain them.
6. List and explain four categories of theories for why the welfare state emerged.
