Answer the Following: Econ 1P92

2. Consider Toussaint, a nation which only produces wine and steel. Using a diagram, explain how each of the following events would affect the country's Production Possibil- ities Frontier. (40%) (a) A neighbouring volcano explodes, destroying much of the nation's farmland and infrastructure. (b) Technological growth permits improvements in steclmaking, ' () Tmmigration causes the labour force to explode. (d) A sigma dictator ascends to power, enshrining the rights of businessmen into Toussaint''s Constitution, uniformly enforcing those rights