With examples, distinguish between derived demand and composite demand.

Derived Demand is demand for a good or service that arises as a result of demand for another related good or service.

For instance  the demand for labour is a derived demand from the demand for goods and services. For example, if the demand for a good such as vehicles increases, then this leads to an increase in the demand for labour, as well as demand for other factors of production such as steel.

Composite demand happens when there are multiple uses for a single product. For example, corn can be used as animal feed, ethanol and food in its whole form. The rise in demand for any of these products leads to a shortage in supply for the others. This shortage can lead to a rise in price