Practice mode Income Inequality

What is it called when the demand for car workers arises from the demand for cars?

Correct answer B. Derived demand

Explanation

Firms want labour not for its own sake but to make products that customers buy. Demand for factors of production is therefore derived from demand for the goods they produce.

Report a problem

Answer checked How we write and check questions

Tip: press A, B, C or D to answer, and N for the next question.

Advertisement

Have a question about this answer?

Your email address will not be published. Required fields are marked *

Links and website addresses are not allowed in comments.