Question

Define an intermediate good.

Answer 1

An intermediate good is a product used to produce a final good or finished product—also referred to as a consumer good. ... Intermediate goods are sold between industries for resale or the production of other goods.

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Answer 2

Intermediate good

• The ‘intermediate goods’ which are used as ‘input’ for other goods during manufacturing.  

• They are consumer goods that are also finished products and are used for making other products.

• ‘Intermediate goods’ are goods that contribute to further production and are sold in the market for resale or for manufacturing the other goods.  

• The intermediate goods can be manufactured internally for being used or can be bought from the market for resale purposes.  

• The ‘value of intermediate goods’ is not included in the ‘national income’.