Economic Growth & Development is one of 10 topics in the Grade 11 Economics CAPS syllabus, covered across 3 lessons on Study Vault. Below are real practice questions from this topic with full worked answers.
Sample practice questions
Easy
1. Economic growth is usually measured as:
The percentage change in real Gross Domestic Product
The absolute rand value of a country's exports
The number of registered companies in a country
The exchange rate of the national currency
Answer: The percentage change in real Gross Domestic Product — Economic growth is typically measured as the percentage change in real GDP, adjusted for inflation so the measure reflects a genuine increase in the quantity of goods and services produced.
Easy
2. Real GDP is adjusted for inflation so that growth figures reflect:
A genuine increase in the quantity of goods and services produced, not just higher prices
Only the change in the exchange rate
Only the change in government spending
Only the change in the money supply
Answer: A genuine increase in the quantity of goods and services produced, not just higher prices — Adjusting GDP for inflation (using real, rather than nominal, GDP) ensures growth figures reflect an actual increase in output rather than simply reflecting rising prices.
Medium
3. What type of direct cash transfer to vulnerable groups, such as the old age pension or child support grant, is used as a redistribution method in South Africa?
Answer: Social grants — Social grants -- direct cash transfers to vulnerable groups such as the old age pension and child support grant -- are one of the redistribution methods used to address unequal income and wealth distribution in South Africa.
