Define intermediate goods and final goods. Can milk be an intermediate good? Give reasons for your answer.
Define intermediate goods and final goods. Can milk be an intermediate good? Give reasons for your answer.
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Goods purchased by a production unit from other production units for resale or for using them completely during the same year are an intermediate goods, goods purchased for consumption/investment are final goods.
Milk purchased by a restaurant is an intermediate good, because it is purchased for reselling.
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