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To Say That the Demand for Labor Is a Derived

Question 4

Multiple Choice

To say that the demand for labor is a derived demand means that


A) the quantity of labor is derived by the real wage rate
B) the demand for labor depends upon the demand for the product produced by labor
C) the supply of labor rises when the demand for labor falls
D) equilibrium in the resource market ensures there is equilibrium in the product market
E) changes in the demand for labor lead to changes in the demand for the product produced by labor

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