(Redirected from Consumption goods)
In
economics 'final goods' are
goods that are ultimately consumed rather than used in the production of another good. For example, a car sold to a consumer is a final good; the components such as tires sold to the car manufacturer are not; they are
intermediate goods used to make the final good.
When used in
measures of national income and output the term 'final goods' only includes new goods. For instance, the
GDP excludes items counted in an earlier year to prevent double counting of production based on resales of the same item second and third hand.
'Consumer goods' are exactly the same as final goods, but with the subtle difference that they are specifically intended for the
mass market. For instance, ''consumer goods'' do not include investment
assets, like precious
antiques, even though these items are 'final goods'.
'Manufactured goods' are goods that have been processed in any way. As such, they are the opposite of raw
materials, but include intermediate goods as well as final goods.