Refer to the diagram, in which S1 and D1 represent the original supply and demand curves and S2 and D2 the new curves. In this market the indicated shift in supply may have been caused by i don't understand why the answer is this explanation :"the development of more efficient machinery for producing this commodity."

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Refer to the diagram, in which S1 and D1 represent the original supply and demand curves and S2 and D2 the new curves. In this market the indicated shift in supply may have been caused by

i don't understand why the answer is this explanation :"the development of more efficient machinery for producing this commodity."

Price
0
K
S₁
Quantity
M
D₁
Sz
D₂
Transcribed Image Text:Price 0 K S₁ Quantity M D₁ Sz D₂
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