Suppose a technological advance enables this society to produce
more housing with existing resources. This would be shown by a shift out in
the PPF as illustrated to the right. When all resources are being used
to produce housing, the maximum feasible amount has increased. However, when all resources
are being used to produce education, there is no change in feasible production.
It turns out that, though this represents an improvement only
in the technology used to produce housing, it can have an impact on the amount of available education, as we shall see.
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