Economics 9708 · AS & A Level · Production possibility curves

Production possibility curves — practice question

The diagram illustrates a production possibility curve (PPC) for a country that makes two goods, X and Y. The starting PPC is shown by ST. What effect does an increase in the productivity of workers who produce good X have on the PPC?

  • 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.

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