5. (a) The following table shows the world population and the projection for 2012, according to the

United States Census Bureau (USCB) estimates:

Population in Billions 1 2 3 4 5 6 7

Year 1804 1927 1960 1974 1987 1999 2012

Years elapsed - 123 33 14 13 12 13

(i) Suggest two reasons for the rapid growth in world population in recent times.

(ii) Discuss the economic effects of an increasing population on the Irish economy. (30)

(b) (i) State and explain the benefits of economic growth for developing countries (LDCs).

(ii) Discuss one advantage and one disadvantage for the Irish economy of increased growth

rates in developing countries (LDCs). (25)

(c) The classical economist, Thomas Malthus, in his work An Essay on the Principle of Population

(1798) created a theory on population.

(i) Explain Malthus's theory on population.

(ii) Is Malthus's theory on population relevant today? Explain your answer. (20)

[75 marks]

6. (a) One of the economic aims of the Irish Government at present is to decrease government current

expenditure.

Discuss four other economic aims of the Government and use relevant statistics/information to

justify your choice. (20)

(b) 'Most eurozone countries with large deficits are using VAT to generate revenue.'

(Irish Tax Institute, The Irish Times, November 2011)

(i) Explain, using examples, the difference between direct taxes and indirect taxes.

(ii) Discuss the economic advantages and disadvantages for the Government of

increasing VAT rates instead of income tax rates in its most recent budget.

(iii) Outline how imposing a tax on sugary foods (e.g. fizzy drinks) could benefit the

Irish economy. (35)

(c) State and explain two economic arguments in favour of and two economic arguments against

third level students contributing to the cost of their higher education.