economics june 2009 p42 q1 part d

[raza-rocker]

please guide me which points should i write ...

 

[Xenon]

you can start by defining the traditional indicators like the GDP per head.. briefly tell how it is used (an increase in GDP per head indicates a rise in standard of living or increase in welfare)... then explain why they are of little use... include points like the GDP statistics do not take account of non-marketed items and the underground/black economy... then there are problems of using these figures like it does not take consideration of externalities, distribution of income, the type of production (like rise in expenditure behind armies will rise GDP but not standard of living), etc..
such problems lead to the use of other indicators like infant mortality rate, mother mortality rate, literacy rate, ratio of doctor to patient or patient to hospital bed ratio, etc... it will be good boost to your ans if you briefly describe the composite indicators like HDI (Human Development index) or MEW (Measurable Economic Welfare) [both can be found in the CIE endorsed book]

 

[raza-rocker]

you can start by defining the traditional indicators like the GDP per head.. briefly tell how it is used (an increase in GDP per head indicates a rise in standard of living or increase in welfare)... then explain why they are of little use... include points like the GDP statistics do not take account of non-marketed items and the underground/black economy... then there are problems of using these figures like it does not take consideration of externalities, distribution of income, the type of production (like rise in expenditure behind armies will rise GDP but not standard of living), etc..
such problems lead to the use of other indicators like infant mortality rate, mother mortality rate, literacy rate, ratio of doctor to patient or patient to hospital bed ratio, etc... it will be good boost to your ans if you briefly describe the composite indicators like HDI (Human Development index) or MEW (Measurable Economic Welfare) [both can be found in the CIE endorsed book]

thanks for the guidance
but what it infant morality rate ? mother morality rate ? i have never read this name in any of my 2 economics endorsed books
please tell about it .. like what are they ? how they are calculated ? and their uses and limitations ?

 

[Xenon]

infant mortality rate: indicates the number of deaths of babies under one year of age per 1,000 live births
and sorry.. that will be maternal mortality not mother... , anyways it refers to the death of a woman during or shortly after a pregnancy...
I don't know how they are calculated or whether they have any limitations or not but the fact is if you have, say a high infant mortality rate, then it clearly shows the poor condition of a country's health system... think about few of the African countries where this rate is high... it can also indicate lack of proper sanitation, access to nutritious food and drinking water.. overall, a high rate of such indicates lower standard of living