Technological improvements will:?

Question

leave the production possibilities curve unchanged.

shift the production possibilities curve inward.

shift the production possibilities curve outward.

necessarily lead to increased unemployment.

Answer 1

Shift the PPF outward. Capital and labor become more productive with technological improvements- thus more output can be produced with the same inputs.

Answer 2

Technological improvements will

shift the production possibilities curve outward.

Because technological improvement help increase the output of at least one product  for any level of output of other goods given the same resources as compared with the pre-technological improvement situation. So the points on the new Production possibility curve would be to the right and above the earlier PPF curve.