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6. (a) Many economists have commented on Ireland's 'greying population' i.e - Leaving Cert Economics - Question 6 - 2009
Question 6
6. (a) Many economists have commented on Ireland's 'greying population' i.e. the structure of Ireland's population is getting older. State and explain how this devel... show full transcript
Worked Solution & Example Answer:6. (a) Many economists have commented on Ireland's 'greying population' i.e - Leaving Cert Economics - Question 6 - 2009
Step 1
State and explain how this development may affect each of the following: Demand for goods and services
Answer
As the population in Ireland ages, the demand for certain goods and services is likely to increase. Specifically, there will be a greater need for healthcare services, nursing homes, and medical supplies. These sectors will experience higher demand as the elderly population grows, resulting in more healthcare-related jobs and services.
Step 2
State and explain how this development may affect each of the following: Government finances
Answer
The aging population can significantly impact government finances. Increased demand for healthcare and pensions may lead to higher government expenditure. As more resources are allocated to health services and welfare benefits, this might strain the public budget, possibly leading to higher taxes or reduced spending in other areas.
Step 3
State and explain two possible economic reasons for this.
Answer
One reason for the rising unemployment is the worldwide economic recession, which leads to reduced demand for goods and services, causing businesses to cut back on hiring or lay off staff. Another reason could be the relocation of industry outside of Ireland, prompting job losses in sectors that were once more secure.
Step 4
State and explain two economic effects which this development may have on the economy.
Answer
One economic effect of rising unemployment is a falling standard of living, as unemployed individuals face diminished incomes, leading to decreased consumer spending. Another effect is increased government expenditure on social welfare programs, which can result in higher taxes and reduced funding for other public services.
Step 5
Suggest one way each of the following could help to reduce unemployment: Irish consumers
Answer
Irish consumers can help reduce unemployment by increasing their spending on local products and services. By supporting local businesses, they can boost demand and in turn, encourage businesses to hire more employees.
Step 6
Suggest one way each of the following could help to reduce unemployment: The Irish Government
Answer
The Irish Government could implement programs to incentivize companies to hire more workers by providing grants or tax breaks. This financial support could encourage businesses to expand and create new job opportunities.
Step 7
State two other economic problems which these countries are experiencing.
Answer
One problem is foreign debts, where countries owe money to foreign lenders, creating a financial burden. Another issue is the dependence on one crop, which makes economies vulnerable to fluctuations in agricultural markets.
Step 8
Write brief notes on each of these.
Answer
Foreign debts often lead to limited government revenues as nations must allocate a significant portion of their budgets to debt repayment. The dependence on one crop can cause economic instability if crop yields are poor due to environmental conditions or market changes, affecting overall economic health.
Step 9
Discuss three measures which Irish citizens could take to help reduce the problems experienced in LDCs.
Answer
- Buy more goods produced in LDCs—encouraging trade can help stimulate economic growth in these regions.
- Support organizations that provide urgent aid to LDCs, helping to improve infrastructure and essential services.
- Advocate for debt reduction initiatives, raising awareness in Ireland about the importance of helping LDCs address their financial burdens.