O Levels Economics (2281)•2281/11/M/J/23

Explanation
Economic Development Shifts from Agriculture to Industry and Services
Steps:
- Recall stages of economic development: countries transition from agrarian economies to industrialized and service-based ones.
- Evaluate options against typical changes: rising incomes, declining unemployment, growth in manufacturing/services, and reduced agricultural reliance.
- Identify mismatch: look for changes that contradict the shift away from primary sectors like agriculture.
- Confirm: option C combines a developing-sector increase (tourism) with a primary-sector expansion (agricultural exports), which is atypical.
Why C is correct:
- In Rostow's stages of growth, developing economies shift resources from agriculture to manufacturing/services, reducing agricultural exports' dominance as productivity rises elsewhere.
Why the others are wrong:
- A: Manufacturing and shipping both expand during industrialization, aligning with development.
- B: Subsistence farming decreases as urbanization grows, while financial services expand in mature economies.
- D: Higher incomes and lower unemployment are hallmarks of economic progress via structural transformation.
Final answer: C
Topic: Differences in economic development between countries
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