Question

Imagine that the company invented a machine that would double the production of baseballs and bats. In such a case, what would happen to the curve in the graph?

Answer 1

The graph would go upwards/ increase due the better production and the sales would go up too.

Answer 2

The answer will be:

The supply curve will shift outwards because an increase in the production of both baseballs and bats will cause the supply curve to shift to the right. The demand curve on the other hand will shift to the right too, as when the supply of baseballs and bats increase all of a sudden the price will lower down and people will be encouraged to buy baseballs and bats