The basic economic problem — IGCSE Economics (0987) questions by topic
Production possibility curves anchor this topic: reading a diagram at a fixed point, judging what happens when a firm becomes more capital-intensive, and identifying which factors of production have changed when a business expands. The 9 questions here, all from 2025 papers, run from 1 to 20 marks and lean on identify and explain before building to analyse and discuss.
Because PPC diagrams recur in slightly different forms, practise reading the axes and curve shape quickly, then submit your written explanation for instant marking to check whether your account of opportunity cost holds up against the scheme.
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 diagram has 'manufactured goods' on the vertical axis and…
Answer this question and get it marked →A firm chooses to become more capital-intensive. What is least likely to have increased? A interest rates B minimum wages C the power of trade unions D the productivity of capital
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 →The diagram shows the production possibility curve (PPC) for an economy that is at point X. The vertical axis is output of capital goods and the horizontal axis is output of…
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 21
Identify the rewards to capital and land. [2]
Answer this question and get it marked →May–June 2025, Paper 22
Identify what is measured on the axes of a production possibility curve. [2]
Answer this question and get it marked →