The substitution of steel for wooden ploughs exemplifies capital-augmenting technological progress because it enhances the productivity of existing capital—namely, the plough—by improving its efficiency and durability. This shift typically leads to higher agricultural output with the same amount of labor, as steel implements can till the soil more effectively than their wooden counterparts, illustrating the role of advanced technology in augmenting agricultural productivity and contributing to economic development. This concept aligns with the broader framework of technological progress in economic theory, highlighting the importance of innovation in driving productivity improvements.