*All capital goods are producer goods, but all producer goods are not capital goods*. Explain with suitable example.

*All capital goods are producer goods, but all producer goods are not capital goods*. Explain with suitable example. All Capital Goods are producer Goods, But all Producer Goods are not Capital Goods good,' all used in the pro of Or, 'l which a prod cti uf other include goods a-S by lilĀ« as by che Like machinery. Unlike not prulucer rhe prad'XtiorL [he wood make (or on the hand, repeatedly used in the process Of production. lhus, while nor capital goods.

Producer goods include all those goods which are used in the process of production. They include?
1) Goods used as raw materials in production
2) Goods used as fixed assets in production

On the other hand, capital goods include only those goods which are used as fixed assets in production. Therefore, we can say that all producer goods are capital goods but all capital goods are not producer goods.
  • 22
What are you looking for?