Impact of import substitution on PPC???
If Import Substitution means domestic production of imported goods, it would imply fuller and better utilisation of resources. Hence the point should move towards PPC as there isnt any growth in resource-base of the country

But if it means import of inputs rather than final goods and encouraging flow of foreign capital in the domestic economy to ensure domestic production of foreign goods, then it will increase resource base of the country leading to rightward shift of PPC

So what is correct??

Dear student, 
The first part of the answer as given by you is correct. 

All the best !!

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