Dmitri and Frances are farmers. Each one owns a 20-acre plot of land. The following table shows the amount of rye and co…

Dmitri and Frances are farmers. Each one owns a 20-acre plot of
land. The following table shows the amount of rye and corn each
farmer can produce per year on a given acre. Each farmer chooses
whether to devote all acres to producing rye or corn or to produce
rye on some of the land and corn on the rest.

Rye

Corn

(Bushels per acre)

(Bushels per acre)

Dmitri
30
10

Frances
28
7

On the following graph, use the blue line (circle symbol) to
plot Dmitri’s production possibilities frontier (PPF), and use the
purple line (diamond symbol) to plot Frances’s PPF.
Dmitri’s PPFFrances’s
PPF01002003004005006007008009001000200180160140120100806040200CORN
(Bushels)RYE (Bushels)
Dmitri’s opportunity cost of producing 1 bushel of corn is
—————-
bushels of rye, whereas Frances’s opportunity cost of producing
1 bushel of corn is—————–
bushels of rye. Because Dmitri has a —- opportunity cost of
producing corn than Frances, —– has a comparative advantage in
the production of corn, and — has a comparative advantage in the
production of rye.