Classify each of the following items as a final good or service or an intermediate good or

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Classify each of the following items as a final good or service or an intermediate good or service and identify it as a component of consumption expenditure, investment, or government expenditure on goods and services:

  • Banking services bought by Target
  • Security system bought by the White House
  • Coffee beans bought by Starbucks
  • New coffee machines bought by Starbucks
  • Starbuck’s grande mocha frappuccino bought by a student
  • New battle ship bought by the U.S. navy
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Foundations of Macroeconomics

ISBN: 978-0134492001

8th edition

Authors: Robin Bade, Michael Parkin

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