Over the past two decades, the nation of Zephyria has aggressively restructured its economy. Driven by strict carbon pricing policies and green subsidies, Zephyria transitioned away from traditional heavy industry toward a digital green technology sector. In 2004, heavy industry accounted for roughly 45% of Zephyria's total productive capacity, while green technology accounted for just 8%. By 2024, heavy industry's share had contracted to 15%, while the green technology sector expanded to absorb over 40% of the nation's resource base.
Draw a Production Possibility Curve (PPC) diagram to illustrate this structural transition, showing the reallocation of resources from the heavy industry sector to the green technology sector.
31 exam-style questions on OCR A Level Economics The allocation of resources. Each one has a worked solution and a mark scheme showing where the marks go.