Consider the following statements: 1. Vietnam has been one of the fastest growing economies in the world in the recent years. 2. Vietnam is led by a multi-party political system. 3. Vietnam's economic growth is linked to its integration with global supply chains and focus on exports. 4. For a long time Vietnam's low labour costs and stable exchange rates have attracted global manufacturers. 5. Vietnam has the most productive e-service sector in the Indo-Pacific region. Which of the statements given above are correct?
A
2 and 4
B
3 and 5
C
1, 3 and 4
Correct Answer
D
1 and 2
Explanation
Option (c) is correct because Vietnam’s rapid economic growth is driven by its export-oriented manufacturing, integration into global supply chains, and competitive advantages like low labor costs and exchange rate stability. Statement 2 is the most common pitfall; it is incorrect because Vietnam is a single-party socialist republic led by the Communist Party, not a multi-party system. The question tests the core concept of export-led development models and the factors that influence the shift of global manufacturing hubs in the Indo-Pacific.
International EconomicsEmerging EconomiesVietnamglobal supply chainsexportslabour costsexchange ratese-service sector