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Demand for factors of production is

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Demand for factors of production is

A).  Derived demand

B).  Joint demand

C).  Composite demand

D).  None of the above


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Answered by on | Votes 0 |

 Derived demand



Demand for factors of production is derived demand. The demand for any factor of production, such as labor, physical capital or land is a derived demand because it arises not from the intrinsic utility provided by the factor but because of the value placed on the production it produces by consumers.

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