What does final goods mean in economics?

When used in measures of national income and output, the term "final goods" includes only new goods. For example, gross domestic product (GDP) excludes items counted in an earlier year to prevent double counting based on resale of items. In that context, the economic definition of goods also includes what are commonly known as services .

What are the different types of final goods?

Final goods can be classified into the following categories: Consumer durable goods usually have a significant lifespan, which tends to be at least one year, based on the guarantee or warranty period. The maximum life depends upon the durability of the product or goods. Examples include tools, cars, and boats.

What are finished goods & services?

finished goods and services produced for ultimate user, ready to be sold for a final product. "car" goods and services used as inputs for the production of final goods, not produced for consumption by ultimate user, goods that are not ready to be sold to consumer but are sold to company "tire"