If the demand for the finished good is elastic, the demand for the resources used to produce that good will be inelastic.

Question

Quizplus · Accepted Answer

If the demand for the finished good is elastic, meaning consumers are sensitive to price changes, the demand for the resources used to produce that good will also tend to be elastic. This is because changes in the production cost or price of the finished good can significantly affect the quantity demanded for both the finished good and its resources.

If the Demand for the Finished Good Is Elastic, the Demand