hassy exammy

Question 1

What is sustainability?

Answer 1

Meeting present needs without harming future generations.

Question 2

What are the three pillars of sustainability?

Answer 2

Environmental, Economic, Social.

Question 3

Define the global economy.

Answer 3

The worldwide network of trade, finance, production, and labour.

Question 4

Impacts of globalisation?

Answer 4

More trade & jobs
* Spread of tech/culture
* Inequality increases
* Environmental damage

Question 5

What is qualitative data?

Answer 5

Descriptive, non-numerical data (e.g., opinions, happiness).

Question 6

What is quantitative data?

Answer 6

Numerical data (e.g., GDP, income).

Question 7

Give an example of each.

qualtative and quatitativie

Answer 7

Qualitative: survey comments
* Quantitative: birth rates

Question 8

What is wellbeing?

Answer 8

Overall quality of life (health, happiness, security).

Question 9

How do we measure wellbeing?

Answer 9

HDI, life expectancy, education, income, literacy, access to healthcare.

Question 10

What is GDP?

Answer 10

Total value of all goods and services produced in a country per year

Question 11

Strengths of GDP?

Answer 11

Easy to compare
* Shows economic growth

Question 12

Limitations of GDP?

Answer 12

• Doesn’t measure happiness
• Ignores inequality
• Doesn’t include unpaid work
• Doesn’t show environmental damag

Question 13

How do we analyse data?

Answer 13

Identify trends, patterns, anomalies, and compare over time.

Question 14

Strengths?

HUMAN WELLBEING INDICATORS

Answer 14

Shows quality of life, easy comparison.

Question 15

Limitations?

HUMAN WELLBEING INDICATORS

Answer 15

Can be biased, may not capture lived experience

Question 16

What does the Lorenz curve show?

Answer 16

The distribution of income across a population.

Question 17

How do you read it?

lorenz curve

Answer 17

he further the curve is from the line of equality → the more unequal.

Question 18

What is the Gini coefficient?

Answer 18

A number 0–1 measuring inequality.
0 = perfect equality, 1 = extreme inequality.

Question 19

GOVERNMENT SOLUTIONS TO INEQUALITY

Answer 19

Progressive tax
* Welfare payments
* Minimum wage
* Education funding
* Job programs

Question 20

Define the SDGs.

SUSTAINABLE DEVELOPMENT GOALS

Answer 20

17 global goals to improve peace, prosperity, and the planet by 2030.

Question 21

Explain 3 goals (importance + barriers):

Answer 21

No Poverty
* Importance: reduces suffering, improves stability
* Barriers: conflict, corruption, poor investment

2️⃣ Quality Education
* Importance: breaks poverty cycle
* Barriers: cost, gender inequality, lack of teachers

3️⃣ Climate Action
* Importance: prevents extreme weather + disasters
* Barriers: political conflict, high costs, lack of global cooperation

Question 22

Define externality.

Answer 22

A cost or benefit on someone not involved in the transaction.

Question 23

Define market failure.

Answer 23

When the free market produces harmful outcomes (e.g., pollution).

Question 24

Example of negative externality.

Answer 24

Air pollution from factories.

Question 25

Why does government get involved?

Answer 25

To fix market failure and protect society.

Question 26

Example of internalising a negative externality.

Answer 26

Carbon tax; pollution fines.

Question 27

Why is climate change a global externality?

Answer 27

Emissions from one country affect everyone worldwide.

Question 28

Social cost of carbon?

Answer 28

Total damage caused by emitting 1 tonne of CO₂.

Question 29

What can government do about carbon?

Answer 29

arbon taxes, subsidies, emission trading, regulation.

Question 30

Main areas of government spending?

Answer 30

ealth, education, welfare, defence, infrastructure.

Question 31

What is fiscal policy?

Answer 31

Government use of tax + spending to influence the economy.

Question 32

Direct vs indirect tax?

Answer 32

Direct = taken from income (income tax). Indirect = taken from spending (GST).

Question 33

If economy growing too fast → fiscal response?

Answer 33

Raise taxes, cut spending (contractionary).

Question 34

If economy growing too slow → fiscal response?

Answer 34

Cut taxes, increase spending (expansionary).

Question 35

Australian economic objectives?

Answer 35

Low inflation (2–3%) * Low unemployment (4–5%) * Economic growth (GDP 2–3%) * External stability

Answer 36

Progressive → income tax * Regressive → GST * Proportional → company tax (flat rate)

Question 37

How does progressive tax work?

Answer 37

Higher income = higher % tax paid.

Question 38

law of demand?

Answer 38

A: Price ↑ = demand ↓ Price ↓ =demand ↑

Question 39

Law of supply?

Answer 39

Price ↑ = supply ↑ Price ↓ = supply ↓

Question 40

quilibrium?

Answer 40

Where demand = supply.

Question 41

: Price factor movement?

Answer 41

Change along the curve (expansion or contraction).

Question 42

Non-price factor movement?

Answer 42

Entire curve shifts (increase or decrease).

Question 43

Surplus?

Answer 43

Supply > demand → price falls.

Question 44

Shortage?

Answer 44

Demand > supply → price rises.

Question 45

Price mechanism returning to equilibrium?

Answer 45

Surplus lowers price; shortage raises price.

Question 46

Simultaneous shift?

Answer 46

Both curves move → new equilibrium depends on direction of shifts.