Bábolina Tetra is a Hungarian company that has genetically created a chicken guaranteed to produce uniform brown eggs with strong shells.The company breeds and sells young chicks to farmers all over Europe who want to sell eggs in local markets.When consumers began to worry about cholesterol content and stopped eating as many eggs,the demand for the Tetra hen also declined.This is an example of what type of demand?

Question

Quizplus · Accepted Answer

Derived demand occurs when the demand for one product or service happens as a result of the demand for another. In this case, the demand for the Tetra hen is directly tied to the demand for eggs. When consumer demand for eggs decreased due to cholesterol concerns, the demand for the Tetra hen also decreased, illustrating derived demand.

Bábolina Tetra Is a Hungarian Company That Has Genetically Created