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WAEC Economics 2022 Objective — Question 2

Question 2 of 50 from the West African Examinations Council (WAEC) Economics 2022 Objective paper, with the correct answer and a full explanation.

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There is unemployment of resources when production is

  • A. within the production possibility curveCorrect
  • B. outside the production possibility curve
  • C. along the production possibility curve
  • D. adequate to meet market demand

Explanation

A point within (inside) the production possibility curve indicates that resources are underutilized, i.e. unemployment of resources exists.

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