PRC-3 · Chapter 10 · Question 32 of 70
A massive surge in the popularity of online video games leads to a massive surge in the demand for specialized graphics microchips. The demand for these microchips is termed:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Derived demand
Explanation
Derived demand occurs when the demand for a component (microchips) is derived solely from the demand for the final consumer product (video games) it helps produce.
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