Economics 0455 · IGCSE · Poverty

Poverty — practice question

Malaysia’s Vision 2020 policy was introduced with the goal of turning Malaysia into a developed country by the year 2020. In addition, the National Privatisation Policy was also put into effect, under which a number of firms, including those in telecommunications, were transferred into private ownership. Poverty has dropped substantially since these policy measures were introduced.
(a)[2]

Identify how absolute poverty differs from relative poverty.

(b)[4]

Explain two characteristics that describe a developed country.

(c)[6]

Analyse two policy measures that could be used to reduce poverty.

(d)[8]

Discuss whether shifting firms out of the public sector and into private sector ownership will benefit an economy.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Relative poverty: income/consumption lower than that of others in the economy

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