After you have studied Economics in the News on pp. 534 – 535 , answer the following questions.
a. How do South Africa and Botswana compare on economic growth rates?
b. For South Africa to grow faster, how would the percentage of GDP invested in new capital need to change?
c. If South Africa is able to achieve a growth rate of 8 percent per year, in how many years will real GDP have doubled?
d. Describe the policies proposed by the author of the news article and explain how they might change labour productivity.
e. What is the source of Botswana’s growth success story and what must South Africa do to replicate that success?
f. Draw a PPF graph to show what has happened in Botswana and South Africa since 1980.