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CAIE IGCSE Economics 5.1.2 Comparing living standards and income distribution

Interpret tables and relationships rather than relying on one average, then explain how jobs, female labour participation, remittances, poverty and public services create…

Syllabus
2027–2029
Course
Economics 0455

Exam points

  • Interpret income-share or distribution data to identify greater or lower inequality.
  • Compare countries using real income, employment, poverty, health and education evidence.
  • Analyse a relationship between GDP per head and a social or labour-market indicator.

5.1.2—Comparing living standards and income distribution question 1

[Maximum number: 4]

Unemployment in the United Kingdom (UK) fell in December 2021 to 4.1\%. Market forces would usually mean that wages would increase due to this lower unemployment. However, workers' living standards did not increase. New international trade deals were not made fast enough to offset the decreasing trade between the UK and the European Union.

Explain two factors that could influence living standards, apart from unemployment rates.

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