(Solved): 4. Shifts in production possibilities Suppose the fictional country of Biscayne produces two types ...

4. Shifts in production possibilities Suppose the fictional country of Biscayne produces two types of goods: agricultural and capital. The following diagram shows its current production possibalibies frontier for rye, an agricultural good, and telephoto lenses, a capitai good. Drag the production possiblities frontier (PPF) on the graph to show the effects of a long drought that reduces the amount of water avallable for farmers to use for irrigation. Note: Select either end of the curve on the graph to make the endpoints appear. Then drag one or both endpoints to the desired position. Points will snap into position, so if you try to move a point and it snaps back to its original position, just drag it a little farther.