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Question (i) and (ii)
Name one developed and one developing economy which you have studied. In the case of each of the economies named in (i), explain one problem associated with each.
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Answer
One significant problem associated with the United States is income inequality. This issue is characterized by a substantial gap between the wealthy and the poor, leading to social unrest and limiting economic mobility for lower-income individuals.
This problem can be illustrated by examining the Gini coefficient, where a higher coefficient indicates greater inequality. As wealth becomes concentrated among the richest, the middle and lower classes face challenges in accessing quality education and healthcare, which further exacerbates the cycle of poverty.
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Answer
A major problem associated with India is inadequate access to clean water and sanitation. Despite economic growth, a considerable percentage of the population still lacks basic sanitation facilities, which leads to health issues and affects the quality of life.
This issue is further complicated by urban overcrowding, where rapid population growth strains existing resources. The government's initiatives to address water scarcity and sanitation have faced challenges, including infrastructure weaknesses and funding constraints.
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