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14) The figure above shows a nation’s production possibilities frontier for apples and oranges. a. What combination of goods is represented by point A? b. What combination of goods is represented by point B? c. Which point represents an unattainable combination of goods? d. The movement from point C to point D results in a free lunch. What is the free lunch? 15) Before the first Gulf War, Kuwait had the capacity to produce a certain amount of oil from its oil wells. After the war, it found that capacity greatly diminished because the oil wells were on fire. Draw Kuwait’s PPF before and after the war, assuming that the only two goods produced are oil and food. Further assume that setting the oil wells on fire did not affect Kuwait’s ability to produce food. Explain why the PPF before the war is different from the PPF after the war. 3.8Â Â Essay: Opportunity Cost 1) Moving on a bowed out PPF, what happens to the opportunity cost of its production as a nation specializes more in one product? 2) Why is the production possibilities frontier bowed out? 3) Why does the production possibilities frontier have a bowed out shape rather than being a straight line?