The demand for labour in response to the wage rate is ______ whereas the demand for same labour in response to the price of electronic goods where…

CA Foundation · Business Economics · MTP · September 2024
The demand for labour in response to the wage rate is ______ whereas the demand for same labour in response to the price of electronic goods where labour enters as an input is ______
(A) A. Derived demand, Direct demand
(B) B. Direct demand, Derived demand
(C) C. Individual demand, Market demand
(D) D. Company demand, Industry demand

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. Direct demand, Derived demand

Topics: Theory of Production and Cost

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