Learn Economics by Dr. Swati Gupta

Classifications of Goods Goods- Items or materials that satisfy human wants and provide utility, are called goods. Final Goods - Final goods are those goods that have crossed the boundary line of production i.e it will not pass through any more stages of production or transformations and are ready for final use is called a final good. The final good is used either for the final consumption or for capital formation. 1-Final consumer goods are those goods which are used by the consumer for the final consumption. Example-food, clothing, car Consumer goods are divided into four categories: ·       Durable goods ·       Semi durable goods ·       Non-durable goods ·       Services Consumer durable goods are those goods that don’t quickly wear out and have a significant life span of three years or more than three years. These goods are having relatively high value. Example...