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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?

  1. AThe PPC shifts from ST to SV.
  2. BThe PPC shifts from ST to SW.
  3. CThe PPC shifts from ST to UT.
  4. 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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