Purchase Solution

Intermediate vs. Final Goods

Not what you're looking for?

Ask Custom Question

Are the following outputs considered an intermediate good, a final good, or neither for purposes of calculating GDP in the current year? For each answer, just say intermediate good, final good, or neither.
a. New tires put on a new Corvette at Big O Tire store
b. The net sales price of a home built in 1990 when it is resold in 1997
c. The commission earned by a stock broker on the sale of stock
d. The net price that is paid for 1000 shares of stock in Dell.

Purchase this Solution

Solution Summary

The solution determines whether goods are intermediate or final.

Solution Preview

a. New tires put on a new Corvette at Big O Tire store
This is a final good. The tires are being purchased separately from the car.

b. The ...

Purchase this Solution


Free BrainMass Quizzes
Basics of Economics

Quiz will help you to review some basics of microeconomics and macroeconomics which are often not understood.

Economic Issues and Concepts

This quiz provides a review of the basic microeconomic concepts. Students can test their understanding of major economic issues.

Elementary Microeconomics

This quiz reviews the basic concept of supply and demand analysis.

Economics, Basic Concepts, Demand-Supply-Equilibrium

The quiz tests the basic concepts of demand, supply, and equilibrium in a free market.

Pricing Strategies

Discussion about various pricing techniques of profit-seeking firms.