Explain the ways in which developed economies can assist a developing economy to achieve economic growth

You must explain at least 2 ways to gain full marks.

1 mark for each valid explanation

1 mark for each valid development

A model answer looks like:

Developed econoimes can provide capital aid to developing economies. This enables them to invest in infrastructure and industrial activites, supporting long-term growth (1). Such improvements in infrastructure will attract more investment and create better opportunities for economic growth (1).

Another way is through offering training services and knowledge transfer. This helps build a skilled workforce in developing economies, improving efficiency and productivity in various sectors (1). As a result, these countries can transition more effectively from agriculture-based economies to more diverse, industrialised ones, fostering sustainable growth (1).