Columbia can produce 1 million tons of coffee in a given year if it devotes all of its farmable land to coffee production. Columbia can produce 500 thousand (0.5 million) tons of grapes in a given year if it devotes all of its farmable land to grape production. Or, it can produce some combination of coffee and grapes.

Peru can produce 2 million tons of coffee in a given year if it devotes all of its farmable land to coffee production. Peru can produce 2 million tons of grapes in a given year if it devotes all of its farmable land to grape production. Or, it can produce some combination of coffee and grapes.

1. If the two countries do not trade, each country will devote half of their land to coffee bean production and half of their land to grape production. Plot each country's PPF and plot where they'd be on their PPFs in this situation. Assume the PPFs are linear.
2. Coffee is more essential than grapes. So, if the two countries do trade, they want to make sure to make enough coffee to satisfy their original demands for coffee from part a., when there was not trade. Then, they use the rest of their combined resources to make grapes. How much in coffee and grapes does each country produce if they specialize based on comparative advantage? Plot these points on each individual country's PPF.the total amount of coffee needed equals the total amount of coffee produced by both countries in part 1.
3. Plot the combined PPF for the two countries from this problem and indicate the production point from part d. as well as the no-trade consumption point from 1.