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Figure 2-10 Figure 2-10 shows the production possibilities frontiers for Tahiti and Bora Bora. Each produces two goods, milk and honey. Refer to Figure 2-10

Figure 2-10 Figure 2-10 shows the production possibilities frontiers for Tahiti and Bora Bora. Each produces two goods, milk and honey. Refer to Figure 2-10 for Questions 13 and 14. 13) (10 Marks) If Tahiti and Bora Bora have the same amount of resources and the same technological knowledge, which one has an absolute advantage in the production of milk? Explain. 14) (20 Marks) If Tahiti and Bora Bora specialize and trade, who should export milk? Explain why and show you work (calculations) to reach your conclusion

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