Economics 9708 · AS & A Level · Production possibility curves
Using production possibility curve (PPC) diagram(s), explain how constant opportunity costs differ from increasing opportunity costs and consider whether short-run choices about which goods to produce can affect future economic growth.
Assess whether a market economy is always the best economic system for answering the three basic questions of resource allocation effectively.
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “AO1 Knowledge and Understanding (max 3 marks): production possibility diagram accurately drawn and labelled – a curved frontier to indicate and identify increasing opportunity cost (1) and a straight frontier to indicate and identify constant opportunity cost (1). The axes need to be labelled as products, and each curve must meet both axes.” …