Asked by
Peyton Schaefer
on Oct 12, 2024
Verified
Which statement is true?
A) A change in derived demand brings about a change in final demand.
B) A change in final demand brings about a change in derived demand.
C) A rise in final demand is associated with a decline in derived demand.
D) None of these statements are true.
Derived Demand
Derived demand refers to the demand for a good or service that originates from the demand for another good or service.
Final Demand
The demand for finished goods and services by consumers, businesses, and government, excluding intermediate goods.
- Uncover the association between the consumption of goods and services (final demand) and the ensuing necessity for resources (derived demand).
Verified Answer
AS
Learning Objectives
- Uncover the association between the consumption of goods and services (final demand) and the ensuing necessity for resources (derived demand).