Economics · May / June 2025 · Paper 11 · Question 3
2281Production possibility curve (PPC) diagrams
The diagram shows a production possibility curve (PPC). The economy is using all of its available resources. A government decides to encourage more production of manufactured goods instead of agricultural goods. Which movement shows this policy change?
- AW to X
- BW to Y
- CX to W
- DZ to X
As printed in the paper
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Correct answer: C. X to W
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