The derived demand curve for a good component will be more inelastic

The derived demand curve for a good component will be more inelastic

A) the larger is the fraction of total cost going to this component.
B) the more inelastic is the demand curve for the final good.
C) the more elastic are the supply curves of cooperating factors.
D) the less essential is the component in question.

 

ANSWER

B

 

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