Economics 0455 · IGCSE · Economic growth

Economic growth — practice question

During the first half of 2022, Guyana's GDP increased by 36.4%. Much of this expansion came from stronger output in the primary sector. The government used some of the tax revenue created by this growth to finance long-term development projects such as infrastructure and education. However, in the short run, house prices rose.
(a)[2]

Identify two examples of industries in the primary sector.

(b)[4]

Explain two reasons for an increase in GDP.

(c)[6]

Analyse why house prices might rise.

(d)[8]

Discuss whether increased government spending on education will lead to economic development.

Worked solution & mark scheme

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