Economics 9708 · AS & A Level · Production possibility curves

Production possibility curves — practice question

A country is operating at full capacity to produce electrical goods and medicines. A new innovation makes it possible for the country to manufacture a new medicine that then becomes highly demanded. How would this be shown by its production possibility curves?

  • Aas a movement from W to X
  • Bas a movement from X to Y
  • Cas a movement from X to Z
  • Das a movement from Y to X

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