A Demand for a Factor of Production Is Said to Be

question 73

Multiple Choice

A demand for a factor of production is said to be "derived" because the factor's demand depends

• A)entirely on the cost of the factor.
• B)entirely on corporate advertising.
• C)heavily on government policy.
• D)heavily on public choice.
• E)on the demand for the good or services it helps to make.

---

Definitions:

Inducements

are incentives or rewards offered to persuade someone to take a certain action or make a specific decision.

Fundamental Attribution Error

The tendency to overemphasize personal characteristics and underestimate situational factors when explaining others' behaviors.

Self-serving Bias

A cognitive bias leading individuals to attribute their successes to internal factors while blaming external factors for their failures.

Behaviour

The actions or reactions of an individual or group in response to external or internal stimuli.