QUESTION 6: ECONOMIC PURSUITS 40 MARKS - 40 MINUTES Countries have various options to follow when deciding on a development strategy. Most developing countries have economic and other policies with integrated strategies for development. . Discuss human resources and natural resources as development strategies to improve the living conditions of citizens in developing countries. (26 marks) . How have basic services, such as health and welfare, improved in South Africa? (10 marks) [40] TOTAL SECTION C: 40 GRAND TOTAL: 150QUESTION 4: MACROECONOMICS AND ECONOMIC PURSUITS 40 MARKS - 30 MINUTES 4.1 Answer the following questions. 4.1.1 Name TWO factors that influence the labour force participation rate. (2 x 1) (2) 4.1.2 How is the standard of living in a country determined? (1 x2) (2) 4.2 Study the paragraph below and answer the questions that follow. CENTRALLY PLANNED ECONOMIC SYSTEM If there is no shop in a rural area, the state will tell one of the inhabitants to start a spaza shop. By doing this, the state will decide what, how, and when to produce in order to uplift the society. [Source: Economics Fast track] 4.2.1 What type of economic system is referred to in the above extract? (1) 4.2.2 Who allocates the resources in the above extract? (1) 4.2.3 Briefly describe the term economic system. (2) 4.2.4 Explain how service delivery can be improved in South Africa. (2) 4.2.5 Why is South Africa regarded as a mixed economy? (4)2.3 Study the table below and answer the questions that follow. FUNCTIONAL CLASSIFICATION GOVERNMENT EXPENDITURE R billion 2014/2015 % Basic education 189,5 21,6 Health 144,6 2.3.5 Defence, public order and safety 163,0 18,6 Higher education and training 56,6 6,4 Economic affairs 176.6 20.2 Social protection 143,9 16,3 Allocated expenditure 874.2 Debt service cost 115,0 11,6 Unallocated expenditure Consolidated expenditure 989,2 2.3.1 Name the government expenditure division used in the above table. (1) 2.3.2 Indicate the service in which the government allocates most of the resources. (1) 2.3.3 Briefly describe the final consumption expenditure by the government. (2) 2.3.4 Explain the importance of final consumption expenditure by government. (2) 2.3.5 Calculate the total percentage of health expenditure in the above table. Show all calculations. (4) 2.4 Differentiate between Gross Domestic Product (GDP) and Gross National Product (GNP) as main aggregates in the economy. (4 x 2) (8) 2.5 How efficient is the state in addressing the disadvantages of the market system? (4 x 2) (8) [40]QUESTION 2: MACROECONOMICS 40 MARKS - 30 MINUTES 2.1 Answer the following questions. 2.1.1 Name TWO main economic sectors when calculating GDP (P). (2 x 1) (2) 2.1.2 Why is the supply of land fixed? (1 x 2) (2) 2.2 Study the graph below and answer the questions that follow. INTERACTION OF THE DEMAND FOR LABOUR AND SUPPLY OF LABOUR Price of labour DL (wage) SL WL DL QL Quantity of labour 2.2.1 Identify the market equilibrium for labour in the graph. (1) 2.2.2 According to the above graph, how are wages determined in the labour market? (1) 2.2.3 Briefly describe the term labour. (2) 2.2.4 Explain how HIV and AIDS affect the quality of labour. (2) 2.2.5 How does the National Development Plan propose to increase employment and economic growth? (4)
