NECO 2002 Economics · Question 9

One of the function of united nation conference on trade and development (UNTAD) is to

Options

  1. A.carry out feasibility study for projects in less developed countries
  2. B.increase impact of developed countries over less developed countries
  3. C.increase share of less developed countries in world trade
  4. D.make goods available in developed countries
  5. E.transfer technology from developed to less developed countries

Answer: C. increase share of less developed countries in world trade

Explanation written with AI and checked against the answer key

Step 1: Analyze the question The question asks about a function of UNCTAD (United Nations Conference on Trade and Development, written "UNTAD" in the question).

Step 2: Explain the concept UNCTAD was established in 1964 as a permanent organ of the UN General Assembly. Its main purpose is to help developing countries benefit from the global economy, especially through trade. Its main functions include:

  • Promoting international trade, especially between countries at different levels of development
  • Helping developing countries increase their share of world trade and export earnings
  • Formulating principles and policies on international trade and development
  • Encouraging fairer trade terms, such as better commodity prices and preferential access to markets
  • Providing research, technical assistance and a forum for negotiation

Step 3: Evaluate the options

  • A. Feasibility studies for projects in less developed countries: This is more typical of agencies like the World Bank, UNDP or the African Development Bank, not UNCTAD.
  • B. Increase the impact of developed countries over less developed countries: This is the opposite of UNCTAD's aim.
  • C. Increase the share of less developed countries in world trade: This matches UNCTAD's core mission.
  • D. Make goods available in developed countries: UNCTAD has no such function.
  • E. Transfer technology from developed to less developed countries: UNCTAD does discuss technology transfer, but it is not its primary, defining function. The question asks for the function that best fits UNCTAD, and that is trade promotion for developing countries.

Step 4: Answer

Exam tip: Remember UNCTAD as "Trade for the Developing". Whenever you see UNCTAD, think of trade and developing countries. Agencies that do feasibility studies or funding (World Bank, UNDP) are different. Keep these apart in your mind.

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