Advanced level 2024 Littoral mock economics 3
Advanced level 2024 Littoral mock economics 3
Identify and state the concept depicted by the above diagram.
Using the diagram, briefly explain the concept identified in (a) above.
( i) State two assumptions of the concept identified in (a) above.
(ii) Besides saving, list the other two leakages in an economy.
c) State any four factors that can increase household savings in Cameroon. (4 marks)
Read the passage below and answer the questions that follow:
“ Economic growth has allowed successive generations to have more and better goods and services •
than their parents.. Long-term increases in real GDP allow an entire society to improve its quality of life,
especially its standard of living
A hundred years ago, most families would have been able to own an icebox, a wood-burning stove
and a horse or bicycle. For most of us today, those necessities of life have turned into a refrigerator-freezer, a
microwave oven, and a car or two. Think about the differences between these two sets of products
With a labour force of a given size, more physical output will lead to more output – in other words,
to economic growth. This process of
of growth. Human capital
oriented economies, human capital becomes another vital source of economic growth
J.
called capital deepening, is one of the most important sources
also contributes to output. As most economies move toward service
Adapted from ECONOMICS Principles in Action by Arthur O’Sullivan and Steven M. Sheffrin, Pages 318 and 320.
a)Define:
capital deepening,
human capital.
Enumerate two advantages of capital deepening.
Give two ways by which human capital can be achieved.
c)Besides the factors mentioned in the passage, state four other factors that are a source of
actual economic growth.
d) List four characteristics of developing countries.
e)Enumerate four obstacles Cameroon is facing in achieving rapid economic growth.
