A good or commodity in economics is any object or service that increases
utility, directly or indirectly, not to be confused with good in a moral or
ethical sense (see Utilitarianism and consequentialist ethical theory). A
good that cannot be used by consumers directly, such as an office building
or capital equipment, can also be referred to as a good as an indirect
source of utility through resale value or as a source of income. A 'good' in
economic usage does not imply moral acceptance or even legality.
If an object or service is sold for a positive price, then it is a good
since the purchaser considers the utility of the object or service more
valuable than the money. Some things are useful but not scarce such as air
and are referred to as free goods.
In macroeconomics and accounting, a good is contrasted with a service. A
good here is defined as a physical (tangible) product capable of being
delivered to a purchaser and involves the transfer of ownership from seller
to customer, as opposed to an (intangible) service. A more general term that
preserves the distinction between goods and services is 'commodities'. In
microeconomics a 'good' is often used in this more inclusive sense of a
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GOOD
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