The basic economic problem — IGCSE Economics (0455) questions by topic
Fourteen questions use a production possibility curve to test opportunity cost, ask you to calculate the opportunity cost of switching activities such as baking cakes, and explain occupational immobility for a worker like a redundant coal miner, worth between 1 and 20 marks.
Identify, explain, analyse, discuss and calculate cover both diagram interpretation and numerical reasoning about trade-offs. Set in 2025 papers, these 14 questions hinge on precise calculation, so this page's instant marking is well suited to checking an opportunity-cost figure line by line, catching a wrong per-hour or per-cake rate before it feeds into a larger error.
May–June 2025, Paper 11
What is likely to increase the occupational mobility of labour? A increasing entry requirements to professions B increasing retraining of workers C introducing job specialisation…
Answer this question and get it marked →Sonia owns a takeaway food delivery service. She decides to expand the firm, buying more vans and hiring additional drivers. Which factors of production were changed? A capital…
Answer this question and get it marked →The diagram shows a production possibility curve (PPC). The economy is using all of its available resources. The vertical axis is manufactured goods and the horizontal axis is…
Answer this question and get it marked →What will increase the level of specialisation in an economy? A A computer manufacturer takes over an advertising company. B A retail store issues its own credit card. C A travel…
Answer this question and get it marked →May–June 2025, Paper 12
A university rejects 2000 qualified applicants who wish to study there. Which factor of production could have caused the university to make this decision? A infinite quantity of…
Answer this question and get it marked →Sanjay, a coal miner, became unemployed when the only local mine closed. He lives in a village near family and friends and would like to stay in the same village. What is the…
Answer this question and get it marked →The diagram shows the production possibility curve (PPC) for an economy that is at point X. The diagram has output of capital goods on the vertical axis and output of consumer…
Answer this question and get it marked →What are both macroeconomic decisions? decision 1 decision 2 --- --- --- A a school recruits more teachers a firm sets the prices for its products B a central bank reduces money…
Answer this question and get it marked →May–June 2025, Paper 13
What is not a factor of production? A a 10 dollar note B a farm labourer C a farm shop D a tractor
Answer this question and get it marked →A person works at home making small cakes. She can make 30 cakes an hour and works for four hours a day. The total cost of the ingredients is $50 and she sells the cakes for $2…
Answer this question and get it marked →An economy produces different types of goods using its limited resources. This can be illustrated by a production possibility curve (PPC). The diagram shows a PPC with consumer…
Answer this question and get it marked →May–June 2025, Paper 21
Identify the rewards to capital and land.
Answer this question and get it marked →May–June 2025, Paper 22
Identify what is measured on the axes of a production possibility curve.
Answer this question and get it marked →May–June 2025, Paper 23
Missions to outer space face the same basic economic problem as that experienced on Earth. The African Space Agency was created to improve science and technology on the African…
Answer this question and get it marked →