What is 'Dutch disease'?
Answer and explanation
Correct answer: D. A decline in other export sectors after a natural resource boom raises the currency and costs
- Step 1: The term was linked to the large natural gas discoveries in the north of the Netherlands. Step 2. A resource boom can push up the currency and hurt other export sectors. Answer: a resource boom that harms other exports. Why not the others: The other descriptions are different problems.
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