Paper 2 · November 2018 · National Income and Economic Growth
In 2005 Malawi had a GNP per capita of US$720 and a life expectancy at birth of 46 years, while Spain had a GNP per capita of US$28 030 and a life expectancy of 81 years. Across a wide sample of countries this pattern shows that
Alife expectancy determines GNP per capita, because every extra year of life automatically adds to national output
Blife expectancy generally rises as GNP per capita rises, because higher incomes pay for health care, clean water and better diet
Clife expectancy generally falls as GNP per capita rises, because people in richer countries work far longer hours under greater stress
Dlife expectancy and GNP per capita move quite independently, since how long people live depends mainly on climate
Explanation
There is a strong positive relationship between income per head and life expectancy. A higher national income per person allows a country to build hospitals and water systems, buy medicines and feed its people better, and households can afford the same things privately, so people live longer.
Derived from ZIMSEC Economics 6073/2 Paper 2, November 2018, Q1