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1.2 The basic economic problem

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Question 3

The table shows changes in the economy of Calderia following a period of economic growth.

IndexBefore economic growthAfter economic growth
Maximum quantity of goods and services that available resources can produce100108
Quantity of goods and services that households would like125140

Both rows use a common scale, with the maximum quantity producible before growth set at 100.

Using the data, explain why economic growth has not removed the basic economic problem in Calderia.

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1.2 The basic economic problem Questions

  1. GCSE
  2. /Economics
  3. /1.2 The basic economic problem

77 exam-style questions on OCR GCSE Economics 1.2 The basic economic problem, covering 1.2.1 Scarce resources and unlimited wants, 1.2.2 The economic problem, 1.2.3 Opportunity cost, and 1.2.4 Costs and benefits of economic choices. Each one has a worked solution and a mark scheme showing where the marks go.

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