2. Comparative and absolute advantage Alex and Becky are farmers. Each one owns a 16-acre plot of land. The following ta

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2. Comparative and absolute advantage Alex and Becky are farmers. Each one owns a 16-acre plot of land. The following ta

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2. Comparative and absolute advantage Alex and Becky arefarmers. Each one owns a 16-acre plot of land. The following tableshows the amount of barley and alfalfa each farmer can produce peryear on a given acre. Each farmer chooses whether to devote allacres to producing barley or alfalfa or to produce barley on someof the land and alfalfa on the rest. Barley Alfalfa (Bushels peracre) (Bushels per acre) Alex 28 7 Becky 18 6 On the followinggraph, use the blue line (circle symbol) to plot Alex's productionpossibilities frontier (PPF), and use the purple line (diamondsymbol) to plot Becky's PPF. Alex's PPF Becky's PPF 0 80 160 240320 400 480 560 640 720 800 160 144 128 112 96 80 64 48 32 16 0ALFALFA (Bushels) BARLEY (Bushels) has an absolute advantage in theproduction of barley, and has an absolute advantage in theproduction of alfalfa. Alex's opportunity cost of producing 1bushel of alfalfa is bushels of barley, whereas Becky's opportunitycost of producing 1 bushel of alfalfa is bushels of barley. BecauseAlex has a opportunity cost of producing alfalfa than Becky, has acomparative advantage in the production of alfalfa, and has acomparative advantage in the production of barley.
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