Production capacity
What Production capacity means in Economics GCSE, as defined for AQA.
Definition of Production capacity
Check what you remember
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Reference: AQA
Spare capacity such as idle machinery or unemployed workers lets a manufacturer increase output quickly without significant cost, making supply elastic.
Topics that use Production capacity
- Price elasticity of supply (AQA GCSE)
Related terms
- Consumer affordability
- Factor mobility
- Price elastic supply
- Price elasticity of supply
- Price inelastic supply
- Spare capacity
- Time periods
- Time periods in economics
Using Production capacity in the exam
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