IGCSE Development Studies: Specimen Questions with Answers 28 - 29 of 98

Passage

GNP data of South Africa is as follows:

  • South Africa GNP for was $ 0. 00B, a 100% decline from 2,019.
  • South Africa GNP for 2,019 was $ 353. 53B, a 6. 38% increase from 2,018.

  • South Africa GNP for 2,018 was $ 332. 32B, a 7. 74% increase from 2,017.

  • South Africa GNP for 2,017 was $ 308. 44B, a 0. 34% increase from 2,016.

Question 28 (6 of 6 Based on Passage)

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How can a country get out of its debt trap?

Explanation

Once a country defaults, it cannot repay its debt, the burden of interest increases, a country is unable to get cheaper loans to repay its debt and it gets into the vicious circle of debt.

Ways a country can get out of its debt trap are as follows:

  • A country can raise the amount of taxes or it can reduce its expenses.
  • A country can opt for printing money to pay for its debt.

  • Reforming the economic policies will play an important role in supporting countries coming out of its debt trap.

  • A reduction in the trade barriers can reduce can help the countries in increasing the access to its market from other countries leading to an increase in its revenue.

  • To have a mechanism to look closely into the debt problems to encourage strong policies and providing risk sharing

Passage

High Death Rate

Question 29 (1 of 7 Based on Passage)

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Explain the following:

General fertility rate

Explanation

The rate refers to the proportion of the number of children born per thousand of females, the reproductive child bearing age. Normally 15 to 49-year age are taken for the calculation of fertility rate. The GFR shows how much women in child bearing age added to the existing population through birth.