PRODUCTION.
Hey Guyz, Happy Thursday to you. How was your day
yesterday, hope it was fruitful and cool. Today we are back to Econs 101 with
the above topic, so let’s get straight to work.
Production
is
defined as the various economic activities aimed at the creation of goods and
services, and the distribution of these goods and services to the final
consumer, for the satisfaction of their human wants.
It is also the creation of Utility, which is the
satisfaction derived from consuming a unit of a product. Production can only be
complete when the goods and services get to the final consumers.
TYPES
OF GOODS.
Goods can be classified into two major groups,
namely:
1.
CONSUMER
GOODS: are goods and services that don’t need further
production; they can satisfy the wants of the consumer in their form. Like
Milk, Services like The Police etc.
Consumer Goods can further be
grouped into the following:
a. Durable Goods- They
are goods that can be used over and over again. Like Radio, Television, Cooking
Pots etc.
