If Arturo and Dina switch from each person dividing their time equally between the production of tacos and burritos to each person spending all of their time producing the good in which they have a comparative advantage, then total production of burritos will increase by:

50

Explanation:

Arturo's production possibilities frontier is 300 burritos and 400 tacos. Dina's production possibilities frontier is 200 burritos and 400 tacos.

Lets assume that they each work 10 hours a day (it is easier to divide using 10), so their current production schedule is as follows:

                max. burritos    p/hour     max. tacos    p/hour       5 hour Px      

                                                                                             burritos     tacos

Arturo              300              30              400             40        150         200

Dina                 200              20              400             40        100         200

total production                                                                      250        400

Arturo's opportunity cost of producing burritos instead of tacos = 400 / 300 = 1.33 tacos per burrito

Arturo's opportunity cost of producing tacos instead of burritos = 300 / 400 = 0.75 burritos per taco

Dina's opportunity cost of producing burritos instead of tacos = 400 / 200 = 2 tacos per burrito

Dina's opportunity cost of producing tacos instead of burritos = 200 / 400 = 0.5 burritos per taco

Since Arturo's opportunity cost of producing burritos is lower than Dina's, he has a comparative advantage in the production of burritos. Therefore, he will work all day producing burritos and his total production = 300 burritos, which is 50 more burritos than before.

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