IB skill practice

Explain economic growth and the business cycle

Economics SL macroeconomics skill with original exam-style diagram, data-response, and policy-evaluation seeds.

Paper 1, Paper 2 5 marks Difficulty 2

Interpret economic growth

A Wellington budget case study reports that real GDP has increased for several years. Explain what economic growth means and one likely benefit. Use the labelled macro diagram, data, or extract evidence before writing the answer. Enter the answer and choose the interpretation that best matches the macroeconomic evidence.

Worked practice: economic evidence and answer

Identify the economic evidence first, then state the result and interpretation.