1.3 Read the following extract and answer questions 1.3-1.5.South Africa's economy grew by 1.1% in the first quarter of the yearStats SA has published the latest gross domestic product (GDP) data covering the first quarter of the year,showing that the economy grew by 1.1% in the first three months of 2021.The growth follows a revised 1.4% rise in real GDP in the fourth quarter of 2020. On an annualised basis, theeconomy grew 4.6% quarter-on-quarter.Following confusion caused by the annualisation of GDP data in 2020- amid the Covid-19 pandemic andresulting lockdowns - Stats SA said it would no longer use the annualised data as the headline GDP statistic.During periods of steady economic growth, annualising is a useful way of expressing quarter-on-quarterperformance in annual terms, Stats SA said. However, during periods of economic instability, annualising can bemisleading, because it exaggerates growth rates that are unlikely to be repeated.Source: https://businesstech co za/news/finance/496851/south-africas-economy-grew-by-1-1-in-the-first-quarter-of-the-vear/Accessed: 19/08/21The central problem that is evident in the above extract is that of...a) Economic welfareb) Data revisionc) Unrecorded activityd) Non-market production1.4 "Periods of economic instability" are in line with which of the following views of the business cycle?a) The Structuralist viewb) The Keynesian viewc) The Classical viewd) The Monetarist view1.5 Given the information about the South African economy in the extract, which of the following will determinethe level of autonomous consumption?a) The level of economic growthb) The level of risk and or uncertaintyc) The level of the interest rated) Savings and or credit

1 . Option B - Data Revision Calculating GDP by annualising method is not the right approach during…

1.3 Read the following extract and answer questions 1.3-1.5. South Africa's economy grew by 1.1% in the first quarter of the year Stats SA has published the latest gross domestic product (GDP) data covering the first quarter of the year, showing that the economy grew by 1.1% in the first three months of 2021. The growth follows a revised 1.4% rise in real GDP in the fourth quarter of 2020. On an annualised basis, th economy grew 4.6% quarter-on-quarter. Following confusion caused by the annualisation of GDP data in 2020 - amid the Covid-19 pandemic and resulting lockdowns - Stats SA said it would no longer use the annualised data as the headline GDP statistic