The table shows data for Country T over three years. Year Real GDP growth (%) CO2 emissions (million tonnes) 2021 2.5 180 2022 4.0 210 2023 5.5 250 The data...

Assessment: Economics 0455 | Paper 1 Mock 01 | Multiple Choice Subject: Economics - 0455

Question 1 Report

The table shows data for Country T over three years.

YearReal GDP growth (%)CO2 emissions (million tonnes)
20212.5180
20224.0210
20235.5250
The data illustrates which trade-off associated with economic growth?

Answer Details

The correct answer is Higher growth is associated with increased environmental damage.

The data shows a clear positive relationship between real GDP growth and CO2 emissions. As growth increased from 2.5% to 4.0% to 5.5% over the three years, CO2 emissions rose from 180 to 210 to 250 million tonnes. This illustrates the trade-off between economic growth and environmental quality: faster growth tends to come with greater environmental damage in the form of higher emissions.

The option about growth reducing the need for government intervention is not supported by the data. The option about faster growth leading to lower unemployment may be true but is not illustrated by this data, which focuses on emissions. The option that growth always leads to improved living standards ignores the environmental costs visible in the table.

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