Question 21N.3.HL.TZ0.2c
| Date | November 2021 | Marks available | [Maximum mark: 4] | Reference code | 21N.3.HL.TZ0.2c |
| Level | HL | Paper | 3 | Time zone | TZ0 |
| Command term | Explain | Question number | c | Adapted from | N/A |
The data in Table 2 refer to Kanyaland, a small, open, developing economy in 2019. All data are in billions of Kanyaland dollars (K$).
Table 2
Assume that the level of GDP in Kanyaland in 2009 was K$455 billion and government expenditures were K$205 billion. For each additional Kanyaland dollar earned as income, it had been estimated that K$0.60 was spent on domestic goods and services, K$0.10 was saved, K$0.21 was paid in taxes and K$0.09 was spent on imported goods and services.
Explain two possible positive consequences of economic growth in Kanyaland.
[4]
Generally well-answered. Lower-achieving responses stated rather than explained, providing responses such as “unemployment will fall”. Also, a minority of candidates suggested that an increase in output would be a consequence (rather than a cause/condition).
