O-LevelEconomicsThe basic economic problem2281/12 · Oct/Nov 2016 · Q31 Mark

The diagram shows a production possibility curve for maize and cotton. [Figure 3.1] Bad weather causes a poor harvest for both crops. Which movement could be used to represent this change?

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AP to R

BQ to R

CS to Q

DS to R

✓ Correct answer

B: Q to R

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Topic: The basic economic problem, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source: O-Level Economics, Oct/Nov 2016 Paper 1 Variant 2, question 3.

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