Goods that are used for the production of other goods are referred to as ________.

Question

Quizplus · Accepted Answer

Goods that are used for the production of other goods are referred to as physical capital. This includes machines, tools, equipment, and buildings used in the production process. Consumer durable goods (A) are goods that are used by consumers over a long period of time, such as refrigerators and cars. Consumer capital (B) is not a commonly used term in economics. Public goods (D) are goods that are non-excludable and non-rivalrous in consumption, such as national defense and street lighting.

Goods That Are Used for the Production of Other Goods