The Digital Divide & The PPF
This is the PPF model or the Production Possibility Frontier , where you can determine the costs of creating an item, but it can only work if you have two different goods and if all the factors of producing are working in full-blast (labor, technology, etc.) The PPF model below shows a normal production of two different goods; books and pencils, whilst the PPF model beside it shows the model when information technology is added to the production. Do you notice how improved the model after IT is? This is a large effect of having IT and good skills to use it; you can improve the rate of production and create more pencils and books as shown in my model. So imagine countries who couldn’t afford this kind of technology and couldn’t use the IT as wisely as other developed countries, do you realize that they will also be behind economically? This is why the digital divide is such an important gap, because it can throw the world’s economy out of balance!
