What Is the Difference Between Consumer Goods and Capital Goods

Capital goods are goods used by one business to help another business produce consumer goods. Consumer goods are used by consumers and have no future productive use. Capital goods include items like buildings, machinery, and tools. Examples of consumer goods include food, appliances, clothing, and automobiles.

What are examples of capital goods?

Capital goods include buildings, machinery, equipment, vehicles, and tools. Capital goods are not finished goods, instead, they are used to make finished goods.

What is consumer goods example?

Consumer goods are products bought for consumption by the average consumer. … Clothing, food, and jewelry are all examples of consumer goods. Basic or raw materials, such as copper, are not considered consumer goods because they must be transformed into usable products.