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Brief notes on Intermediate goods and final goods

Use 'intermediate good' in a Sentence

❶In the production process, intermediate goods either become part of the final product, or are changed beyond recognition in the process. For example, books need paper and glue in order to be created.

Use intermediate goods in a sentence

What is an 'Intermediate Good'
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Definition of intermediate good: Material or item that is a final-product of a process, but is also used as an input in the production process of some other good. For example, sugar is consumed directly as well as in the manufacture.

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An intermediate good is a good or service used in the eventual production of a final good or finished product.

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Intermediate goods or producer goods or semi-finished products are goods, such as partly finished goods, used as inputs in the production of other goods including final goods. A firm may make and then use intermediate goods, or make and then sell, or buy then use them. ADVERTISEMENTS: Final Goods and Intermediate Goods! Final Goods: Final goods refer to those goods which are used either for consumption or for investment. Final Goods include: ADVERTISEMENTS: (i) Goods purchased by consumer households as they are meant for final consumption (like milk purchased by households). (ii) Goods .

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An Intermediate Good is a good or service purchased by a manufacturer to be used as an input in another product. Learn more with our Free Economic Lessons! Intermediate goods are also known as semi finished products; these goods are those which are used as input in the production of other goods or for making product.