An important lesson of the Chilean crisis was that a. inflows ...

[stevenposner]

An important lesson of the Chilean crisis was that
 
  a. inflows of foreign capital should be strictly regulated
  b. governments should ensure that the current account balance is kept close to 0
  c. governments need to maintain regulation and oversight of the banking sector
  d. government intervention in financial matters leads to capital flight
  e. none of the above

Question 2

Explain what developed countries can do to respond constructively to the environmental damage being done in developing countries.
 
  What will be an ideal response?

[parker125]

Answer to Question 1

C

Answer to Question 2

Discussed at the end of the chapter; this may also depend on lecture coverage.

[stevenposner]

YES! Correct, THANKS for helping me on my review

[Chelseyj.hasty]

Wow, this really help