Development

Economic and social indicators

Indicators are numbers that show how well an economy and its people are doing over time and compared with other countries.

CAPS

Grade 12 · Economics · Development

Economics wants the concept, then the diagram or the data, then the consequence.

  • The papers

    Paper 1 is macroeconomics and economic pursuits. Paper 2 is microeconomics and contemporary economic issues. Each paper is 150 marks.

  • How to write it

    Define the term as CAPS uses it. If a graph is asked for, label both axes, the curves, and the equilibrium or the shift. Then say what happens to price, quantity, growth, inflation or unemployment. A curve with no labels does not explain.

  • How a marker reads it

    A common mix-up is treating higher GDP as proof that everyone is better off, when inequality and population growth matter too.

Essays are marked on the introduction, a body that applies the theory, and a conclusion that answers the question. A list of definitions is not an argument.

Worked theory

Worked theory. A labour force of 25 million with 8 million unemployed gives an unemployment rate of 825 × 100 = 32%. Even if GDP grows, a rate this high means many households share little in that growth.

More worked examples

  • Two countries

    Two countries have similar GDP per head, but one has longer life expectancy and higher literacy. Its HDI is higher, so its people are better off.

  • Per-capita trap

    Real GDP rises 1% while the population grows 1,5%. Output per person falls, so average living standards decline.

In ordinary words

Economic indicators such as real GDP growth, inflation, unemployment and the terms of trade show performance. Social indicators such as life expectancy, literacy and access to water show wellbeing. The HDI combines health, education and income into one index, and several indicators must be read together.

In South Africa

A Stats SA release on the screen at a community library.

Part 1 / 4

What it is

Indicators are numbers that show how well an economy and its people are doing over time and compared with other countries.

More worked examples

Board walkthroughs on this topic. Open one, copy the working, then try the next.

Example 1 / 20

The labour force is 25 million and 8 million are unemployed. Calculate the unemployment rate.

How we got there

Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.

Explain in another language · 11

1. What is the question asking?

Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: The labour force is 25 million and 8 million are unemployed. Calculate the unemployment rate.

Before any working — hunt first

Given

Numbers and units already in the sentence: 25 million · 8 million. Copy each one into a column. A name without a number is not given.

Missing

After you copy the given, the letter that still has no number is missing. The paper is pointing at: the unemployment rate. Circle that word — that is the missing variable.

Find

We are required to find: the unemployment rate. Write that as a symbol on the left, with a question mark, before you touch a formula.

Calculate

What we need to calculate: Unemployedlabour force × 100. Then substitute the given, one line at a time, to get the unemployment rate.

In other words — as if you have never seen this before

If you have never seen this before: Unemployedlabour force × 100. We will name a method in words, write the formula with no numbers, then substitute one line at a time.

2. What do we already know?

25 m; 8 m.

3. Which method — and why this one?

Unemployedlabour force × 100.

4. Step-by-step working

  1. 01 / 08

    Step A — Read the question twice

    Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.

    Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.

  2. 02 / 08

    Step A2 — Hunt: Given, Missing, Find, Calculate

    Given: Numbers and units already in the sentence: 25 million · 8 million. Copy each one into a column. A name without a number is not given. Missing: After you copy the given, the letter that still has no number is missing. The paper is pointing at: the unemployment rate. Circle that word — that is the missing variable. Find: We are required to find: the unemployment rate. Write that as a symbol on the left, with a question mark, before you touch a formula. Calculate: What we need to calculate: Unemployedlabour force × 100. Then substitute the given, one line at a time, to get the unemployment rate.

    Why this step: Do not name the letters yet. First hunt: what already has a number (Given), what has no number (Missing), the word the paper wants (Find), and which formula still contains the missing letter (Calculate).

  3. 03 / 08

    Step B — Write the given in a column

    25 m; 8 m.

    Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.

  4. 04 / 08

    Step C — Name the method in words

    Unemployedlabour force × 100.

    Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.

  5. 05 / 08

    Calculate

    825×100=32%.

    Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.

  6. 06 / 08

    Step G — Sense-check the size

    Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.

    Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.

  7. 07 / 08

    Step F — Box the answer with its unit

    32%.

    Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.

  8. 08 / 08

    Step H — What the marker is looking for

    On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.

    Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.

5. The answer

32%.

Copy onto your answer sheet — in this order

Answer: 32%.

6. Check it like a marker

Use the labour force, not the population.

7. A trap first-timers fall into

First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”

Ntsako · fx-991ZA PLUS. Tap to calculate.