Ok. I understand what you WANT to do but your current throught process isn't going to get you there.
The web is a stateless medium and the only way we know when to do "something" is when the user does something that we can detect (an event). When I select an option from a dropdown the onChange event is fired and, until i change my selection, that event is never going to get fired again for that dropdown. This is your short coming.
What I think your best approach would be is something like this:
User selects item 1 --> This raises a JavaScript Function --> Write the value to a div, store the value in a variable, create text boxes on the fly whatever --> Reset the index of the select list back to 0 --> Repeat.
hth.
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