Economics 0455 · IGCSE · Poverty

Poverty — practice question

Average life expectancy for the poorest Americans is just as low as it is for the people of Sudan, a low-income African nation. People with low incomes are most likely to live longest in countries where the population is more educated. Economic growth can raise education levels and cut poverty. In 2017, the US President announced a reduction in the tax on firms’ profits. He said that this policy would boost employment.
(a)[2]

Identify two reasons why a person may wish to migrate to the USA.

(b)[4]

Explain two reasons why less-educated people tend to have a lower life expectancy than people who have received more education.

(c)[6]

Analyse how economic growth can reduce absolute poverty.

(d)[8]

Discuss whether or not a cut in the tax on firms’ profits will raise employment.

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