Economic development case study (LIDC/EDC)

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Question 1
Medium

Study the stacked bar chart below, which shows the change in employment structure for a Low-Income Developing Country (LIDC) case study between 1990 and 2020.

Employment Structure of an LIDC

In 1990, the secondary sector made up 5% of total employment, which rose to 13% by 2020.

Which of the following options correctly calculates the percentage-point change in secondary sector employment, and identifies the most likely driver of this economic transition within an LIDC context?

An increase of 888 percentage points; driven by a structural shift towards a post-industrial knowledge economy dominated by quaternary research and information technology services.

A decrease of 888 percentage points; driven by structural deindustrialisation as domestic trade barriers led to the collapse of urban manufacturing hubs.

An increase of 888 percentage points; driven by government initiatives and foreign direct investment (FDI) in light manufacturing hubs, such as textile industrial parks, to promote export-led growth.

An increase of 181818 percentage points; driven by the rapid mechanical automation of the agricultural sector which forced rural workers into urban heavy engineering industries.

Economic development case study (LIDC/EDC) Questions

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