In 1960, the United States and Hong Kong produced at point A on their respective PPFs. In
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In 1960, the United States and Hong Kong produced at point A on their respective PPFs. In 2015, Hong Kong was at point B and the United States was at point C.
If Hong Kong continues to produce at any point on its PPF above C, it will grow more rapidly than the United States and its PPF will eventually shift out beyond the PPF of the United States. But if Hong Kong produces at a point below B, the pace of expansion of its PPF will slow.
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