The demand for an input is called a derived demand because

A) employers of inputs,particularly labor,derive income from using inputs.
B) employers derive satisfaction from giving employment to an input.
C) the demand for output is derived from the demand for the inputs used to produce it.
D) it arises from the demand for the output that the input is used to produce.

Derived Demand

Demand for a good or service that arises from the demand for another good or service; for example, the demand for steel is derived from the demand for cars.

Input

Refers to the resources, materials, or services that are used in the production of goods and services.

Output

The total amount of goods or services produced by a company, industry, or country.