Asked by
Rebecca Eagen
on Oct 12, 2024
Verified
Which of the following offers the best example of derived demand?
A) An increase in the demand for movie tickets causes an increase in the demand for popcorn.
B) An increase in demand for movie tickets causes an increase in the demand for movie theatre workers.
C) A decline in the demand for cars causes an increase in the demand for bus rides.
D) An increase in the demand for cars causes an increase in the demand for gasoline.
Derived Demand
A demand for a commodity or service resulting from the demand for something else, typically goods or services used in the production of other goods or services.
Demand for Popcorn
The desire or consumer's willingness to purchase popcorn at various price levels.
Movie Tickets
Financial tickets purchased to gain entry to view films in theaters.
- Explain the application of the concept of derived demand in the labor market and additional factor markets.
Verified Answer
JM
Learning Objectives
- Explain the application of the concept of derived demand in the labor market and additional factor markets.