Many candidates were able to provide answers for parts (a) and (b) of this question. However, most candidates were unable to explain the factors that could increase the size of production in their country in part (c) of the question. This made most candidates not to obtain the maximum marks for this question.
Candidates were expected to write down the following details to score good marks for this question.
(a) Production in economics is defined as the creation of utility. OR It is the use of resources to make goods or services which have value
(b) (i) Primary production is the process of extracting raw materials from land, sea and air e.g. mining, quarrying, farming, etc.
(ii) Secondary production is the conversion of raw materials to finished and semi finished goods e.g. manufacturing, construction, processing, etc.
(c) The size of production will increase given the following conditions.
- High quantity and quality of the factors of production available within the country.
- Political climate: stable political climate will create room for production and will also attract foreign investors/loans/grants.
- Favourable weather conditions: Agricultural production will increase where the weather is favourable.
- Improvement in technology.
- Increased and efficient use of factors of production.
- Adequacy and efficiency of infrastructural facilities.
- Government adherence to plan implementation.
- Increased savings and investment
- New resource discoveries
- Favourable government policy – (taxation and subsidies)
- Protecting infant industries
- Export promotion
- market size
- Establishment of industries (Industrialization)
