Issachui Academy MATHEMATICS & ECONOMICS
STUDY GUIDE IB Economics HL · First assessments 2022 · Reviewed calculations · Historical examples dated

CORRECTIONS REVIEW · 15 OCTOBER 2026

Haiti and Malawi:
historical example corrections

23 targeted edits in chapter 4.9 clarify the Haiti and Malawi examples. Useful historical observations have dates and attribution; unsupported amounts and overstatements have been removed or rewritten. The original capture, design, diagrams and interactive controls are preserved.

This review does not imply that every statement in the guide has been independently verified. These corrections preserve dated historical examples and clarify the evidence supporting them.

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Before: In 2012, Haiti’s Gini Index was 0.61, suggesting that it has significant levels of inequality. In 2012, the official poverty estimates suggested that over 6 million Haitians lived below the poverty line of US$2.41 per day, and more than 2.5 million fell below the extreme poverty line of US$1.12 per day.

After: In 2012, Haiti’s income-based Gini coefficient was approximately 0.61, indicating substantial income inequality. Around 6 million people lived below the historical national poverty threshold of US$2.41 per person per day, including approximately 2.5 million below the extreme-poverty threshold of US$1.23. These thresholds are expressed in 2005 purchasing-power-parity dollars; they are not current international poverty lines. Sources: World Bank poverty assessment · Assessment methodology .

World Bank poverty assessment · Assessment methodology

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Before: However, Haiti does have a large port in Port-au-Prince, as well as an international airport which, according to the US Department of Transportation, fulfills international safety standards. It has three other airports with paved runways, and eight with unpaved runways.

After: The Library of Congress country profile published in May 2006 described Port-au-Prince as Haiti’s principal port and the location of its main international airport. It recorded four airports with paved runways and eight with unpaved runways. This is a historical infrastructure inventory, rather than a description of present airport capacity or safety. Sources: Library of Congress, May 2006 .

Library of Congress, May 2006

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Before: The major secondary industries in Haiti are the production of beverages, butter, cement, detergent, edible oils, flour, refined sugar, soap, and textiles; manufacturing growth has been limited due to the lack of capital investment. In 2004, industry made up around 20% of Haiti’s GDP, and employed less than 10% of the labour force.

After: The May 2006 country profile listed food processing, beverages, cement, soap and textiles among Haiti’s manufacturing activities. It reported that industry accounted for approximately 20% of GDP in 2004 but employed less than 10% of the labour force. Limited capital investment was one constraint on manufacturing development; it should not be treated as the sole explanation for the sector’s performance. Sources: Library of Congress, May 2006 .

Library of Congress, May 2006

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Before: Haiti’s access to international markets is relatively strong, with an average tariff rate among the lowest in Latin America and the Caribbean. However, non-tariff barriers still pose a significant problem to international trade. Furthermore, trade liberalisation has had a negative impact on the domestic economy, as the low tariff level means that domestic products cannot compete with cheap imports.

After: Haiti’s relatively low import tariffs did not, by themselves, imply easy access to overseas markets for Haitian exporters. The WTO’s 2015 trade review reported a simple average applied tariff of 4.9%, while also identifying other charges and obstacles to trade. Cheaper imports can benefit consumers and firms purchasing inputs, but expose some domestic producers to greater competition. These effects need to be distinguished from the separate question of exporters’ access to foreign markets. Sources: WTO trade review, 2015 .

WTO trade review, 2015

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Before: Haiti is a member of the WTO, as well as the Caribbean Community and Common Market; it also enjoys 10-year preferential access to US markets through special tariff exemptions under the Hemispheric Opportunity through Partnership Encouragement. However, Haiti’s poor infrastructure means that its ability to export goods is limited.

After: Haiti has been a WTO member since 30 January 1996 and is a member of CARICOM. CARICOM membership should not be taken to mean full participation in every arrangement of the CARICOM Single Market and Economy. The US HOPE and HELP programmes provide preferential access for eligible Haitian textile and apparel exports, subject to their rules. Official statements in September 2026 reported that these programmes had been extended through 31 December 2028; this was not a general exemption from tariffs for every Haitian export. Sources: WTO membership · CARICOM arrangements · Haiti investment agency, September 2026 .

WTO membership · CARICOM arrangements · Haiti investment agency, September 2026

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Before: Haiti is the most country most affected by tuberculosis (TB) and HIV/AIDS in Latin America.

After: Haiti has faced a substantial burden of tuberculosis and HIV. PAHO’s October 2024 assessment identified tuberculosis incidence as among the highest in the region. This does not establish that Haiti ranks highest for both diseases under every measure. Sources: PAHO, October 2024 .

PAHO, October 2024

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Before: In 1999, tuberculosis infected 114 of every 100,000 people in Haiti.

After: An archived PAHO country profile reported an estimated tuberculosis prevalence of 114 per 100,000 people in 1999. Prevalence refers to existing cases in a population; this figure should not be described as the number of new infections during that year. Sources: PAHO historical country profile .

PAHO historical country profile

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Before: In 1999, the leading cause of death for infants and children was acute diarrhoeal diseases, which made up around 21.1% of deaths. Acute respiratory infections made up around 6.9%.

After: PAHO’s profile of registered deaths in 1999 identified intestinal infections, perinatal conditions, malnutrition and respiratory infections as important causes of death among children aged 0–4. Death registration was very incomplete, and many recorded causes were ill-defined. The figures therefore cannot reliably describe the distribution of causes across all child deaths in Haiti. Sources: PAHO historical country profile .

PAHO historical country profile

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Before: In the historical period described here, Malawi’s National Assembly had 193 seats; the legislature elected in 2025 has 229 seats, with members of parliament being elected directly in local constituencies. The president’s party tends to not have a parliamentary majority, and a large number of members of parliament are independent, without party affiliation. None of the parties have clear political profiles or ideological delineation, making it difficult for for voters to make choices in their own best interests; at the same time, ‘chameleon politics’, where politicians switch parties for career advancement, is common, meaning that voters cannot rely on the party affiliation of their representatives. Furthermore, the Malawi Electoral Commission (MEC) is under-resourced, and often unprepared to carry out elections.

After: In the 2019 parliamentary election, the Democratic Progressive Party won 62 seats and independent candidates won 55 in the 193-seat National Assembly. Freedom House’s 2020 report, covering 2019, described loosely organised parties, frequent party switching and resource constraints affecting the electoral commission. These observations describe that election period, rather than every subsequent parliament. Sources: Freedom House, 2020 .

Freedom House, 2020

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Before: Labour laws are only weakly enforced, meaning that employees are paid extremely low wages. Child labour is also prevalent, particularly on tobacco estates.

After: The US Department of Labor’s 2019 findings documented child labour in Malawi, including in tobacco production, and gaps in enforcement. The report also recognised progress, including increased funding for the labour inspectorate. Weak enforcement can leave workers vulnerable, but does not by itself explain the level of wages across the economy. Sources: US Department of Labor, 2019 .

US Department of Labor, 2019

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Before: There is significant gender inequality in Malawi. Its score on the Gender Inequality Index (GII), which measures inequality across reproductive health, empowerment, and economic activity, was 0.615 in 2018, placing it 149th out of 162 countries. The GII can be interpreted as the degree to which human development is mitigated by inequality between men and women.

After: The 2019 Human Development Report recorded a Gender Inequality Index value of 0.615 for Malawi in 2018, ranking it 149th out of 162 countries. The index captures inequality between women and men in reproductive health, empowerment and labour-market participation. It reflects a loss in potential human development associated with these inequalities; it is not an observed percentage fall in GDP or in the Human Development Index. Sources: UNDP Human Development Report, 2019 · UNDP index definition .

UNDP Human Development Report, 2019 · UNDP index definition

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Before: Other important statistics include:

After: The following historical indicators are from the 2019 Human Development Report. Reference years differ: the report presents 2018 values or the latest available observations for schooling, and observations from 2010–2018 for secondary education. Estimated GNI per capita is expressed in 2011 PPP dollars, not wages or US dollars converted at market exchange rates. The male parliamentary share is the complement of the reported female share. Sources: UNDP, tables 4 and 5 .

UNDP, tables 4 and 5

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Before: Life expectancy at birth

After: Life expectancy at birth (years, 2018)

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Before: Expected years of schooling

After: Expected years of schooling (2018 or latest available)

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Before: Mean years of schooling

After: Mean years of schooling, ages 25+ (2018 or latest available)

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Before: GNI per capita

After: Estimated GNI per capita (2018, 2011 PPP $)

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Before: Female seats in parliament

After: Share of parliamentary seats (2018)

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Before: Population with at least some secondary education

After: Population aged 25+ with at least some secondary education (latest available, 2010–2018)

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Before: There were accusations of fraud in the 2019 general elections, with photos showing that tabulation sheets had been edited using Tipp-Ex. There are also significant levels of corruption in government. The Anti-Corruption Bureau (ACB) has been accused of being ineffective and itself corrupt, and generally speaking high-level officials are able to act with impunity. Budget transparency was limited: the 2019 Open Budget Survey recorded a published 2018/19 executive budget proposal, so the issue was incomplete transparency rather than an absence of published budgets, and few high-level officials declare their financial assets while in office.

After: The disputed May 2019 presidential election became known as the “Tipp-Ex” election because of alterations to result sheets. On 3 February 2020, the Constitutional Court annulled the presidential result; a fresh election followed on 23 June 2020. This illustrates both electoral weaknesses and the role of judicial accountability. Separately, Freedom House’s 2020 report recorded criticism of the Anti-Corruption Bureau as ineffective and politically compromised, rather than establishing that the agency itself was corrupt, and reported limited asset declarations in 2019. Malawi’s 2019 Open Budget Survey assessment recognised publication of the 2018/19 executive budget proposal, while identifying continuing transparency weaknesses. Sources: International IDEA, 2020 election · Freedom House, 2020 .

International IDEA, 2020 election · Freedom House, 2020

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Before: Malawi’s constitution enshrines full political rights for all ethnic, religious, and gender groups. However, there is still significant inequality based on characteristics like gender, sexuality, and ethnicity.

After: Freedom House’s 2020 assessment described a gap between constitutional guarantees of equality and the discrimination experienced by some groups in Malawi during 2019. Formal legal rights do not necessarily ensure equal treatment in practice. Sources: Freedom House, 2020 .

Freedom House, 2020

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Before: Although the constitution guarantees equal rights, consensual sexual activity between same-sex couples is punishable by up to 14 years in prison, and LGBTQ+ people are often subject to arbitrary arrest and detention.

After: Under the Penal Code as consolidated on 31 December 2014, section 153 provided a maximum penalty of 14 years’ imprisonment for specified offences, while sections 137A and 156 provided five-year penalties for other specified same-sex sexual conduct. It is therefore inaccurate to assign a single 14-year penalty to all such conduct. These provisions describe that historical legal framework. Sources: Malawi Penal Code, 2014 consolidation .

Malawi Penal Code, 2014 consolidation

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Before: There is significant discrimination against people with albinism, who are often attacked, abducted, killed, and mutilated.

After: Freedom House’s report covering 2019 documented discrimination and attacks against people with albinism. This historical example illustrates how insecurity and exclusion can prevent people from exercising formal rights. Sources: Freedom House, 2020 .

Freedom House, 2020

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Before: There is discrimination against women in education, employment, business, and other aspects of life. Women are underrepresented in politics, and are less likely than men to become involved in politics. However, in June 2019, Catherine Gotani Hara became Malawi’s first female speaker in parliament.

After: Women remained under-represented in political life in 2019. In June that year, Catherine Gotani Hara became Malawi’s first female Speaker of the National Assembly, an important development within that historical context. Sources: Freedom House, 2020 .

Freedom House, 2020

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