If the demand for a product produced by an input decreases, the demand for the input will also decrease.

Name: If the demand for a product produced by an input decreases, the demand for the input will also decrease.
Brand: Quizplus
Rating: 4.8 (38 reviews)

Question

Quizplus · Accepted Answer

This is because the demand for inputs is derived from the demand for the final product they help produce. If the demand for the final product decreases, less of it will be produced, leading to a decrease in the demand for the inputs used in its production.

If the Demand for a Product Produced by an Input