Microeconomics: Principles, Applications, and Tools (8th Edition)

Published by Prentice Hall
ISBN 10: 0-13294-886-9
ISBN 13: 978-0-13294-886-9

Chapter 2 - The Key Principles of Economics - Exercises - 2.1 The Principle of Opportunity Cost - Page 44: 1.11b

Answer

Now assuming that technology for producing baseball mitts improves, now the fewer resources are needed for each mitt. But, the technology for producing soccer balls does not change. This means by employing the same number of resources in the production of mitts, the nation can produce extra mitts. Thus the PPF shifts outwards.

Work Step by Step

the new graph is below:
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