Goods & Services

• A good is physical item that can be touched and purchased physically
• A service is a procedure performed by another person for you - e.g a haircut.
• Individual - personal needs/wants
• Collective - needed or wanted by a community or a group of people
• Complementary - goods that go together (e.g a car and petrol).
• Substitutes - To be willing to replace a usually bought item for another due to prices, availability, etc.
• Scarcity is when there aren't enough resources to satisfy the demand of people's wants and needs. This is when demand is more than what is available.
• Demand is the consumer's desire to purchase a good or a service.