Economics (AS & A Level) · Oct / Nov 2025 · Paper 12 · Question 5
9708Production possibility curves
The diagram shows a production possibility curve (PPC) for a country that produces two goods, X and Y. The initial PPC is given by ST. What is the effect on the PPC when the productivity of workers producing good X increases?
- AThe PPC shifts from ST to SV.
- BThe PPC shifts from ST to SW.
- CThe PPC shifts from ST to UT.
- DThe PPC shifts from ST to UW.
As printed in the paper
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Correct answer: B. The PPC shifts from ST to SW.
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