What is an intermediate good?
A) A finished good that is used by consumers to produce at home (such as lettuce to make salad for dinner)
B) A product that is neither a luxury product with maximum features nor a basic product with minimal features but rather has an average amount of features
C) A finished good that is used as an input and that becomes part of another product (such as thread that becomes part of a shirt)
D) A product that is sold when it is only partly produced, allowing the buyer to finish production (such as a kit to make a birdhouse)

Question

Quizplus · Accepted Answer

Intermediate goods are products used as inputs in the production of other goods, such as thread used in making shirts. They are not final consumer goods but are used to produce final goods.

What Is an Intermediate Good