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  • 04-04-2019
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why is the demand for labor called a dervied demand

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MaeIsOffline
MaeIsOffline MaeIsOffline
  • 04-04-2019
The demand for labor is “derived” from the production and demand for the product being demanded. If the demand for the product increases two things will probably happen: 1, the price will increase and 2, the demand for production labor will increase until the equilibrium price and production numbers are met. Labor is “derived” from the market demand for the product.
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