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3.1 Economic growth

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Question 5

Darsen is a dry country where irrigated agriculture accounts for a large share of output. Its government plans to give firms grants to develop and buy water-efficient machinery and to retrain agricultural workers to operate the new capital. Independent forecasts for the sixth year of the plan are shown in the table. All index numbers use the year before the plan as the base year.

IndicatorYear before the planForecast sixth year
Real GDP index100116
Population index100107
Output per agricultural worker index100124
Annual freshwater extraction as a percentage of natural replenishment86%103%
Greenhouse gas emissions index10097
Share of total income received by the lowest 40% of households18%16%

A freshwater extraction figure above 100% means that water is being used faster than it is naturally replenished.

Evaluate how sustainable Darsen's forecast economic growth appears, using evidence from the table.

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Markscheme

3.1 Economic growth Questions

  1. GCSE
  2. /Economics
  3. /3.1 Economic growth

78 exam-style questions on OCR GCSE Economics 3.1 Economic growth, covering 3.1.1 What is economic growth, 3.1.2 Calculate economic growth using GDP, 3.1.3 Explain how growth is measured, 3.1.4 Analyse GDP data, 3.1.5 Determinants of economic growth, and 3.1.6 Costs and benefits of economic growth. Each one has a worked solution and a mark scheme showing where the marks go.

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