Grade 11 · CAPS

Grade 11 Globalisation

Economics practice questions and a worked example

Globalisation -- the growing interconnection of economies through trade, investment and multinational enterprises -- brings real benefits and real costs, and Grade 11's questions here are grounded in an actual extract on the North-South divide and a real report on digital multinational enterprises like the ones learners use every day.

Worked example

NORTH-SOUTH DIVIDE Countries using this model of South-South cooperation see it as a 'mutually beneficial relationship that spreads knowledge, skills, expertise and resources to address their development challenges such as high population pressure, poverty, hunger, disease, environmental deterioration, conflict and natural disasters.' These countries also work together to deal with "cross border issues" such as environmental protection, HIV/Aids, and the movement of capital and labour. (Adapted from Wikipedia.org/wiki/global North) 3.2.5 Examine the negative impact of Covid-19 on developing countries in Africa.

Answer & explanation

High levels of unemployment resulted as lockdown restrictions disrupted economies, closing businesses and costing jobs. Tourism -- a major economic sector for countries such as South Africa, Kenya, Tanzania and Ethiopia -- declined sharply, many investors withdrew, reducing foreign direct investment, and national budgets shifted toward health spending, slowing development in other sectors.
The Covid-19 pandemic had several negative impacts on developing countries in Africa. Firstly, lockdown restrictions led to high levels of unemployment as many businesses were forced to close, resulting in job losses. Secondly, tourism, which is a significant economic sector in countries like South Africa, Kenya, Tanzania, and Ethiopia, saw a sharp decline due to travel restrictions and safety concerns. Thirdly, many investors withdrew their investments, leading to a reduction in foreign direct investment. Lastly, national budgets were redirected towards health spending to manage the pandemic, which slowed down development in other sectors. These factors combined to create significant economic challenges for developing countries in Africa.

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Globalisation

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1.1.6 An economic system that is a contributor to the North-South divide is known as ...
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More practice questions

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  • 2
    NORTH-SOUTH DIVIDE Countries using this model of South-South cooperation see it as a 'mutually beneficial relationship that spreads knowledge, skills, expertise and resources to address their development challenges such as high population pressure, poverty, hunger, disease, environmental deterioration, conflict and natural disasters.' These countries also work together to deal with "cross border issues" such as environmental protection, HIV/Aids, and the movement of capital and labour. (Adapted from Wikipedia.org/wiki/global North) 3.2.2 Give ONE example of a cross border issue that countries of the South are experiencing.
  • 3
    NORTH-SOUTH DIVIDE Countries using this model of South-South cooperation see it as a 'mutually beneficial relationship that spreads knowledge, skills, expertise and resources to address their development challenges such as high population pressure, poverty, hunger, disease, environmental deterioration, conflict and natural disasters.' These countries also work together to deal with "cross border issues" such as environmental protection, HIV/Aids, and the movement of capital and labour. (Adapted from Wikipedia.org/wiki/global North) 3.2.3 Briefly describe the term North-South divide.
  • 4
    NORTH-SOUTH DIVIDE Countries using this model of South-South cooperation see it as a 'mutually beneficial relationship that spreads knowledge, skills, expertise and resources to address their development challenges such as high population pressure, poverty, hunger, disease, environmental deterioration, conflict and natural disasters.' These countries also work together to deal with "cross border issues" such as environmental protection, HIV/Aids, and the movement of capital and labour. (Adapted from Wikipedia.org/wiki/global North) 3.2.4 Explain the term free trade areas.
  • 5
    3.4 Briefly discuss change in employment conditions and environmental deterioration as consequences of globalisation.

Common mistakes

  • Treating globalisation's effects as uniformly positive or uniformly negative -- the real past-paper material asks learners to weigh both benefits (market access, technology transfer) and costs (job losses, environmental deterioration, widening inequality) for a specific country or group.

Aligned to CAPS Grade 11 Economics — Globalisation. Curriculum source: CAPS for the FET Phase, Department of Basic Education.