io's initial production possibilities frontier (PPF). Initial PPF New PPF 0 1 2 3 4 5 6 7 8 30 25 20 15 10 5 0 BASKETS PICTURE FRAMES Suppose Antonio is currently using combination D, producing one picture frame per day. His opportunity cost of producing a second picture frame per day is19 baskets per day. Now, suppose Antonio is currently using combination C, producing two picture frames per day. His opportunity cost of producing a third picture frame per day is16 baskets per day. From the previous analysis, you can determine that as Antonio increases his production of picture frames, his opportunity cost of producing one more picture frame . Suppose Antonio buys a new tool that enables him to produce twice as many picture frames per hour as before, but it doesn't affect his ability to produce baskets. Use the green points (triangle symbol) to plot his new PPF on the previous graph. Because he can now make more picture frames per hour, Antonio's opportunity cost of producing baskets is it was previously.
