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O-LevelEconomicsThe basic economic problem2281/12 · May/June 2019 · Q21 Mark

The diagram shows a production possibility curve (PPC) for an economy that produces both capital goods and consumer goods. At which point will the economy show the highest potential for sustained long run economic growth? [Diagram]

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AD
BB
CC
DA

✓ Correct answer

B: B

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About this question

Topic
The basic economic problem, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source
O-Level Economics, May/June 2019 Paper 1 Variant 2, question 2.

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