Q.Explain the classification of goods.

"Goods" is a foundational term in Economics and is classified along more than one dimension. …

A good, in Economics, is anything — tangible or intangible — capable of satisfying a human want. Goods are classified along three common lines. Free goods, such as air, sunlight and rainwater, are available in unlimited supply relative to want and carry no price, versus economic goods, such as food, clothing and land, which are scarce relative to want and therefore command a price. Consumer goods, such as bread or a shirt, directly satisfy a want, while producer or capital goods, such as a tractor or a factory machine, are used to produce other goods rather than being consumed directly. Material goods are physical and tangible, such as a book or a chair, while services (non-material goods) are intangible acts performed by one person for another — the work of a doc …

Students often forget services (non-material goods) as a category, treating 'goods' as only physical objects, and forget that free goods are define …