The below figure shows the production possibilities frontiers (PPFs) of two persons, Balin and Fundin

A country has a comparative advantage in producing that good if the opportunity cost of producing that good is lower in that country as compared to another country.

Balin:

8 units of good 2 = 9 units of good 1

1 unit of good 2 = 9/8 = 1.125 units of good 1

1 unit of good 1 = 8/9 = 0.88 units of good 2

Opportunity cost of producing good 2 is 1.125 units of good 1 and opportunity cost of producing good 1 is 0.88 units of good 2.

Fundin;

7 units of good 2 = 5 units of good 1

1 unit of good 2 = 5/7 = 0.71 units of good 1

1 unit of good 1 = 7/5 = 1.4 units of good 2

Opportunity cost of producing good 2 is 0.71 units of good 1 and opportunity cost of producing good 1 is 1.4 units of good 2.

Bralin has lower opportunity cost in the production of good 1 while Fundin has lower opportunity cost in the production of good 2.

Therefore, Bralin has comparative advantage in the production of good 1, whereas Fundin has comparative advantage in the production of good 2.