When the guy finally gets the rabbit out of the hat he is sent to the wasteland by the narrator as punishment.
as i recall, the rabbit, the house, the table, and most things, disappeared at the moment the rabbit was presumed to be IN the hat. not out of the hat. as i recall, it was "put the rabbit back in the hat", we see the rabbit go back in the hat, then there's some announcements, then everything disappears except the hat and the earth, and the person