CH 3 : Economic Growth and Development
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Questions and Answers

What is the primary focus of the Reconstruction and Development Programme (RDP)?

  • Job creation
  • Meeting basic needs (correct)
  • Fiscal and monetary discipline
  • Market-led growth

What is the aim of the Growth, Employment and Redistribution (GEAR) approach?

  • Reducing poverty
  • Market-led growth (correct)
  • Job creation
  • Improving average economic growth

What is the target of the Accelerated and Shared Growth Initiative of South Africa (Asgi-SA)?

  • Increasing access to resources
  • Improving economic stability
  • Halving unemployment and poverty (correct)
  • Reducing inequality

What is the primary focus of the New Growth Path (NGP)?

<p>Job creation (D)</p> Signup and view all the answers

What is the North/South Divide characterized by?

<p>Disparity in income levels (D)</p> Signup and view all the answers

What is the Human Development Index (HDI) used to measure?

<p>Standard of living (B)</p> Signup and view all the answers

What approach do South African policies incorporate?

<p>Both demand-side and supply-side approaches (B)</p> Signup and view all the answers

What is the primary focus of evaluating South African approaches?

<p>Effectiveness in reducing poverty, inequality, and unemployment, and impact on overall economic growth (C)</p> Signup and view all the answers

What is the primary goal of the Reconstruction and Development Programme (RDP)?

<p>All of the above (D)</p> Signup and view all the answers

What is the common characteristic of the North/South Divide?

<p>Disparity in income levels (A)</p> Signup and view all the answers

What does economic growth refer to?

<p>An increase in a country's real GDP or real GDP per capita over time (A)</p> Signup and view all the answers

What is the main focus of the demand-side approach to economic growth?

<p>Increasing government expenditure to stimulate economic activity (D)</p> Signup and view all the answers

What is the objective of import substitution?

<p>To encourage the production of goods domestically that would otherwise be imported (A)</p> Signup and view all the answers

What is the main objective of export promotion?

<p>To support domestic industries to increase their exports (D)</p> Signup and view all the answers

What is the focus of the supply-side approach to economic growth?

<p>Improving the quality of the labor force and managing natural resources (B)</p> Signup and view all the answers

What is the role of entrepreneurship in economic growth?

<p>To encourage entrepreneurs to discover and exploit new business opportunities (A)</p> Signup and view all the answers

What is the difference between economic growth and economic development?

<p>Economic development is a broader concept that includes economic growth (B)</p> Signup and view all the answers

What is the main objective of redistribution of income policies?

<p>To redistribute income to enhance consumption among lower-income earners (B)</p> Signup and view all the answers

What is the objective of accumulating capital goods?

<p>To invest in infrastructure and technology to enhance production capacity (C)</p> Signup and view all the answers

What is the role of advancements in technology in economic growth?

<p>To emphasize innovation and technological advancement to improve productivity and competitiveness (A)</p> Signup and view all the answers

Which of the following South African approaches emphasizes democratizing state and society?

<p>RDP (A)</p> Signup and view all the answers

What is the main determinant of the standard of living in the North/South Divide?

<p>Human Development Index (HDI) (A)</p> Signup and view all the answers

What is the primary goal of evaluations of South African approaches?

<p>Reducing poverty and inequality (C)</p> Signup and view all the answers

Which of the following approaches is characterized by market-led growth?

<p>GEAR (D)</p> Signup and view all the answers

What is the primary objective of the Accelerated and Shared Growth Initiative of South Africa (Asgi-SA)?

<p>Improving average economic growth (B)</p> Signup and view all the answers

What is the common characteristic of the economic and human divides in the North/South Divide?

<p>Significant disparities (B)</p> Signup and view all the answers

Which of the following approaches focuses on identifying job drivers?

<p>NGP (A)</p> Signup and view all the answers

What is the primary focus of the Reconstruction and Development Programme (RDP)?

<p>Meeting basic needs (D)</p> Signup and view all the answers

What is the primary characteristic of South African policies?

<p>Both demand-side and supply-side approaches (A)</p> Signup and view all the answers

What is the primary outcome of the North/South Divide?

<p>Stark differences in living standards (C)</p> Signup and view all the answers

What is the primary objective of economic development?

<p>Improvement in standards of living and income equity (D)</p> Signup and view all the answers

Which of the following is a demand-side approach to economic growth?

<p>Increased government expenditure (B)</p> Signup and view all the answers

What is the primary goal of import substitution?

<p>To retain economic benefits within the country (C)</p> Signup and view all the answers

What is the role of education and training in economic growth?

<p>To improve the quality of the labor force (D)</p> Signup and view all the answers

What is the primary objective of export promotion?

<p>To support domestic industries and increase exports (B)</p> Signup and view all the answers

What is the primary focus of the supply-side approach to economic growth?

<p>Improving the production capacity and productivity (C)</p> Signup and view all the answers

What is the role of natural resources in economic growth?

<p>To manage and use natural resources efficiently (D)</p> Signup and view all the answers

What is the primary goal of accumulating capital goods?

<p>To invest in infrastructure and technology (C)</p> Signup and view all the answers

What is the role of advancements in technology in economic growth?

<p>To improve productivity and competitiveness (C)</p> Signup and view all the answers

What is the primary objective of redistribution of income policies?

<p>To enhance consumption among lower-income earners (A)</p> Signup and view all the answers

Which of the following strategies is most likely to lead to an increase in a country's real GDP per capita?

<p>Increasing investments in education and training to enhance productivity (B)</p> Signup and view all the answers

What is the primary difference between economic growth and economic development?

<p>Economic growth focuses on GDP growth, while economic development focuses on income inequality and general well-being (D)</p> Signup and view all the answers

Which of the following approaches to economic growth is most likely to lead to increased income inequality?

<p>Demand-side approach, focusing on increasing government expenditure (D)</p> Signup and view all the answers

Which of the following approaches is most likely to prioritize economic restructuring over short-term job creation?

<p>Growth, Employment and Redistribution (GEAR) (C)</p> Signup and view all the answers

What is the primary goal of entrepreneurship in the context of economic growth?

<p>To discover and exploit new business opportunities, integrating various production factors (B)</p> Signup and view all the answers

What is the primary difference between the economic and human divides in the North/South Divide?

<p>Standard of living (C)</p> Signup and view all the answers

Which of the following is a characteristic of the North/South Divide?

<p>Income inequality between countries (B)</p> Signup and view all the answers

Which of the following approaches is most likely to prioritize democratizing state and society?

<p>Reconstruction and Development Programme (RDP) (B)</p> Signup and view all the answers

What is the primary objective of import substitution?

<p>To encourage domestic production of goods that would otherwise be imported (C)</p> Signup and view all the answers

What is the primary goal of evaluations of South African approaches?

<p>Reducing poverty and inequality (D)</p> Signup and view all the answers

Which of the following approaches to economic growth is most likely to lead to sustainable income redistribution?

<p>Demand-side approach, focusing on redistributing income to enhance consumption among lower-income earners (B)</p> Signup and view all the answers

What is the primary role of advancements in technology in economic growth?

<p>To improve productivity and competitiveness (D)</p> Signup and view all the answers

Which of the following is a characteristic of both the economic and human divides in the North/South Divide?

<p>All of the above (D)</p> Signup and view all the answers

Which of the following strategies is most likely to lead to increased economic benefits within the country?

<p>Encouraging domestic production of goods that would otherwise be imported (A)</p> Signup and view all the answers

What is the primary focus of the New Growth Path (NGP) approach?

<p>Job creation and identifying job drivers (A)</p> Signup and view all the answers

What is the primary goal of managing and using natural resources in the context of economic growth?

<p>To ensure efficient and sustainable management of natural resources (D)</p> Signup and view all the answers

Which of the following approaches incorporates both demand-side and supply-side approaches?

<p>South African policies (A)</p> Signup and view all the answers

What is the primary goal of the Accelerated and Shared Growth Initiative of South Africa (Asgi-SA) approach?

<p>Halving unemployment and poverty (D)</p> Signup and view all the answers

What is the primary characteristic of the Human Development Index (HDI)?

<p>Measures standard of living (B)</p> Signup and view all the answers

Which of the following approaches is most likely to prioritize building the economy?

<p>Reconstruction and Development Programme (RDP) (A)</p> Signup and view all the answers

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