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Issue:

Business

 

Written by:

Paul P

 

Date added:

August 10, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

6 / 1609

 

Was viewed:

5215 times

 

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Essay content:

For example, a car sold to a consumer is a final good; the components such as tires sold to the car manufacturer are not; they are intermediate goods used to make the final good. The same tires, if sold to a consumer, would be a final good. Only final goods are included when measuring national income...
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The same tires, if sold to a consumer, would be a final good. Only final goods are included when measuring national income. If intermediate goods were included too, this would lead to double counting; for example, the value of the tires would be counted once when they are sold to the car manufacturer, and again when the car is sold to the consumer...
displayed 300 characters

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