Distinguish between economic growth and economic development and consider whether they are linked.
- (a)Distinguish between economic growth and economic development and consider whether they are linked.[12]
- (b)It is difficult to calculate the value of GDP and it does not provide an accurate measure of the welfare or happiness of a country's citizens, therefore it should not be used as an indicator of the standard of living. Discuss whether you agree with this statement.[13]
Mark scheme
Marking points from the official mark scheme (Oct/Nov 2018). The mark or mark type is shown in brackets.
- [12] Economic growth is measured by the change in GDP/GNP in a particular time period, allowing for changes in the price level. Sometimes per capita growth may be used to take into account changes in population. Economic development is a much wider term which encompasses reducing poverty; provision of education; provision of health care; maintenance of law and order. However, growth and development are linked because economic growth creates the wealth to provide education, health care and reduce poverty.
- [9-12] L4: for an answer that recognises the difficulties connected with establishing clear links but does provide a number of reasons why such links might exist and attempts to assess the strength of each link. A conclusion would be expected
- [7-8] L3: for an answer that provides a detailed explanation of each term and expands upon basic text book definitions. There will be clear evidence of an attempt to show that the two terms are linked.
- [5-6] L2: for an answer that attempts to explain and distinguish between the two concepts but that remains descriptive and that makes no attempt to link growth and development.
- [1-4] L1: For an answer that shows some knowledge but does not indicate that the question has been fully grasped or where the answer is mostly irrelevant.
- [13] There are two elements to this question. Answers should discuss the difficulties associated with alternative measures of GDP (income/output/expenditure). Then responses should address whether GDP can be used as a reliable indicator of living standards. Evidence should be produced to support the view that it is not a reliable indicator. Some reference to alternative indicators should be provided.
- [9-13] L4: for a response that discusses both parts of the question and which attempts to identify which are the key elements in both cases. Alternative indicators should be explained and discussed and a clear conclusion provided.
- [7-8] L3: for an answer that provides a detailed account of reasons why GDP is difficult to measure, referring to at least two alternative ways of measuring GDP. Also responses should address a range of reasons why GDP is not a reliable indicator of living standards. A limited conclusion should be provided
- [5-6] L2: for an answer that deals with only one part of the question or both parts in a superficial manner with no reference to alternative indicators.
- [1-4] L1: for an answer that shows some knowledge but does not indicate that the question has been fully grasped or where the answer is mostly irrelevant.
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