Understanding Goods and Services

Capital goods are:

• Items used for decoration

• Goods businesses use to make their products

• Goods sold in shops

• Free services

Goods are:

• Things people do for others

• Things used to decorate a space

• Things that are made

• Ideas and opinions

Services are:

• Foods and drinks

• Things made in factories

• Things people do for others

• Tools and machines

Cost is:

• The size of a product

• The amount of money paid for something

• The number of products made

• The location of a shop

Scarcity means:

• Products are sold at a discount

• There are too many products

• People do not have access to the goods or services they need or want

• People are sharing everything

A product is:

• Anything that is made

• A kind of tax

• An advertisement

• A law or rule

A skill is:

• The tools needed for work

• The location of a company

• The knowledge a person must have to do a task

• A price reduction

Price is:

• A free service

• The cost of a product

• A kind of tax

• A business location

Materials are:

• Finished products

• Items used in marketing

• Things used to make a product

• Services offered online

A sale is:

• When a product is free

• When a seller lowers the price

• When a business closes

• When someone raises the price