Question

What is meant by intermediate goods and services?

• A. The same as capital goods, such as plants, buildings, vehicles and machinery.
• B. Products which one firm buys off another and then uses up in its own products.
• C. All inputs bought by firms, including labour and raw materials.
• D. Imported goods and Services.

Answer 1

Answer:

B. Products which one firm buys off another and then uses up in its own products.

Intermediate Goods

• Products which one firm buys off another and then uses up in its own products.