Question

Using a PPC diagram, analyze the effect of a decrease in the supply of labour and enterprise in an economy.

Please no absurd answers

Answer 1

Answer:

a PPC (production possibility curve) diagram (properly labeled) showing a shift of PPC to the left. An explanation of the diagram and its movement will fetch full marks.

The explanation should state that fewer resources reduces the ability of an economy to produce both products/reduces productive potential/reduces GDP which results in the shift of PPC to the level