Differences in economic development between countries · IGCSE Economics

Discuss whether or not a larger tertiary sector will Level Description Marks increase a country’s economic development. 3 A reasoned discussion which accurately 6–8 In assessing each answer, use the table opposite. examines both sides of the economic argument, making use of economic Coherent discussion which might include: information and clear and logical analysis to evaluate economic issues and Why it might increase economic development: situations. One side of the argument may

• Many highly skilled and highly paid jobs are in services have more depth than the other, but
• may raise GDP/employment overall both sides of the argument are
• may have good working conditions considered and developed. There is
• may mean greater provision of education and thoughtful evaluation of economic healthcare concepts, terminology, information and/or
• may increase HDI data appropriate to the question. The discussion may also point out the Why it might not increase economic development: possible uncertainties of alternative
• some tertiary sector jobs e.g. in hospitality may be low decisions and outcomes. paid
• poor working conditions in some tertiary jobs e.g. refuse 2 A reasoned discussion which makes use 3–5 collectors of economic information and clear
• low productivity jobs can dominate (retail, hospitality, analysis to evaluate economic issues basic services) and situations. The answer may lack
• uneven development/inequality, growth in services often some depth and development may be benefit urban areas/ those with service sector skills one-sided. There is relevant use of
• relatively small primary sector industries that can earn economic concepts, terminology, high incomes e.g. oil information and data appropriate to the
• relatively small secondary sector to make products/take question. more advantage of economies of scale
• some tertiary industries may create external costs e.g. 1 There is a simple attempt at using 1–2 tourism/transport/plastics. economic definitions and terminology. Some reference may be made to economic theory, with occasional understanding. Question Answer Marks Guidance 2(d) Level Description Marks 0 A mark of zero should be awarded for no 0 creditable content. Question Answer Marks Guidance

Explain how growth in the primary sector can help economic development. Logical explanation which might include:

• growth of the primary sector may provide more jobs (1) Credit a particular outcome e.g. life expectancy, economic e.g. in rural areas / coastal communities (1) increasing growth or HDI only once. incomes /living standards (1)
• increased output in primary products may reduce their prices (1) increasing demand for the products / economic growth (1)
• growth of the primary sector may increase the supply of raw materials (1) reducing their prices (1) increasing output in secondary industries (1)
• may increase tax revenue (1) allows more government spending on e.g. education / healthcare (1) improving years of schooling / life expectancy (1)
• may increase products for export (1) reduce imports of raw materials (1) increasing total demand / economic growth (1)
• may produce more food (1) increasing life expectancy (1) improving the HDI (1) Question Answer Marks Guidance

Why it might not: Level Description Marks

• takes a long time to have an impact on the economy 1 There is a simple attempt at using 1–2
• financial cost of government spending e.g. taxation / economic definitions and borrowing terminology. Some reference may be
• opportunity cost e.g. health spending made to economic theory, with
• reduced benefit to the economy if there is emigration of occasional understanding. skilled workers / net migration is negative 0 A mark of zero should be awarded 0
• government might spend the money inefficiently for no creditable content.
• education programmes may be ineffective. Question Answer Marks Guidance

Calculate the number of Malawians who had access to Accept 3.3  106. electricity in 2022. 3.3 m or 3 300 000.

Supporting evidence: Four countries with the highest GDP per head had the highest percentage of children who complete primary education / Malawi / Uganda have the lowest of both (1). South Africa had the highest GDP per head and the highest percentage of children who complete primary education (1). Comparison of two countries (e.g. Namibia and Senegal where GDP falls as does percentage of children completing primary education). Analysis of the expected relationship: Parents in countries with high incomes are more likely to be able to afford to keep their children in primary education (1). Government tax revenue is likely to be higher in countries with high incomes and so will be able to spend more on primary education (1). Completing primary education may increase the chance of skilled / occupationally mobile high income earning workers (1). Exception: Malawi / Uganda (1) Malawi has a lower GDP per head but a higher percentage of children who complete primary education than Uganda (1). Analysis of exception: A higher percentage of children may complete primary education but the quality of the education may be low leading to a low GDP per head / GDP per head may be high but there may be a high degree of inequality with a relatively high proportion of the population unable to keep their children in primary education (1). Question Answer Marks Guidance

Explain two reasons why the Gabonese Government One mark each for each of two reasons identified and one wants to reduce reliance on oil. mark each for each of two explanations. Logical explanation which might include: Only these two reasons are acceptable.

• Running out of oil / create a shortage (1) revenue from the industry will decline / employment in the industry will decline / GDP will decline /cause recession / conserve for future generations / may need to import oil / price for oil may rise (1).
• Oil industry creates water pollution / pollution (1) an external cost / harms health / reduces standard of living / protect the environment / attract tourists (1). Question Answer Marks Guidance

Analyse the relationship between the literacy rate and Responses do not have to be in the format suggested but the percentage of the labour force employed in they should address the expected/normal relationship, offer agriculture. supporting evidence of that, highlight any exceptions to that, and analyse the overall data. Coherent analysis which might include: Supporting evidence should involve interpretation, not just Expected relationship: description. Simply stating percentages without analysis of

• Generally, an inverse / negative relationship (1) the being high or low gets no marks. higher the literacy rate, the smaller the % of the labour force employed in agriculture (1). Accept as analysis where two countries with different levels of adult literacy and percentage employed in agriculture are Supporting evidence: directly compared.
• South Africa had the highest literacy rate and the lowest % of the labour force employed in agriculture (1).
• Zambia / Sierra Leone / Mali had the lowest literacy rates and the highest %s of labour force employed in agriculture (1). Analysis of expected relationship:
• A high literacy rate may increase the chance of workers gaining jobs in high paid tertiary jobs (1) a low literacy rate may mean workers have to undertake unskilled jobs in agriculture / a high proportion of workers employed in agriculture may mean that high literacy rate is not required (1). Exception:
• Gabon (1) Gabon has a high literacy rate but also a high % of the labour force employed in agriculture (1). Analysis of exception:
• Some jobs in agriculture are skilled / secondary and tertiary sectors may be small (1). Question Answer Marks Guidance

Analyse how differences in healthcare can lead to The question can be analysed from either poorer or better differences in economic development between healthcare provision in one country compared with another countries. but the same point should not be rewarded twice. Coherent analysis which might include: If healthcare is better in one country than another, workers will be healthier / take less time off sick (1) the productivity of labour may be higher (1) leading to higher incomes of workers (1) improved standard of living (for workers) (1) longer life expectancy / lower death rate (1) higher HDI (1). Firms may gain higher profits (1) due to lower average cost / higher revenue (1) higher quality output (1) productivity capacity of the economy will increase (1) leading to economic growth (1) exports may increase due to higher competitiveness (1) investment may increase (1) creating more jobs (1) reducing unemployment (1) increasing incomes and reducing (child) poverty (1) may increase spending on education (1).