1.Explain what economists mean by an increase in real GDP per capita and discuss the extent to which an increase in real GDP per capita will have a positive impact on economic development. (15')

2.The introduction of new technology will increase efficiency but will also cause an increase in unemployment. Discuss the extent to which you agree with this statement. (20')

3.'Governments should concentrate upon providing favorable conditions for investment by firms in the private sector. This would allow all investment in an economy to be carried out by firms in the private sector.' (25')

4.Read the following passage and answer questions (40')

Productivity in the G7 countries The G7 is a group of countries that have some of the world's major advanced economies. Productivity in the G7 countries varies, as shown in Fig. 1.1 below, with United Kingdom (UK) performance as the base index of 100.

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2015 2016 140 Index (UK = 100) 130 120 110 100 90 .... Japan Canada UK Italy US France Germany Source: The Sunday Times, 24 June 2018 Fig. 1.1: Gross domestic product per hour worked, G7 countries, for 2015 and 2016 2015 2016 140 Index (UK = 100) 130 120 110 100 90 .... Japan Canada UK Italy US France Germany Source: The Sunday Times, 24 June 2018 Fig. 1.1: Gross domestic product per hour worked, G7 countries, for 2015 and 2016

Answer rating: 100% (QA)

What is productivity Economists use the term productivity to refer to the efficiency with which a country produces goods and services It is typically ... View the full answer