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Economics · May / June 2025 · Paper 12 · Question 3

2281Production possibility curve (PPC) diagrams

The diagram shows the production possibility curve (PPC) for an economy that is at point X. Which change in the economy's labour market will allow it to reach point Y?

  1. Aemployed workers become more productive
  2. Bunemployed workers find new jobs
  3. Cworkers emigrate for higher wages
  4. Dworkers retire at younger ages

As printed in the paper

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Correct answer: A. employed workers become more productive

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