WAEC Economics 2000 Question 28

Question 28

Theory of Demand

The demand for a commodity that serves two or more purposes is

  1. A.competitive demand
  2. B.complementary demand
  3. C.composite demand
  4. D.derived demand.
Show the answer and explanation

Answer: C (composite demand)

Explanation

Composite demand is demand for one good that has several uses, e.g. sugar for tea, sweets and soft drinks.