All machines are not capital goods .comment ?
Dear Student
This statement is correct as all machines are not used to produce goods some are used by individuals at their home to ease their work. Example : Case1 where a sewing machine is used by a tailor at his shop and in Case2 the person is using sewing machine at home. In case1 the person is using sewing machine to produce final goods so it is a capital good but in case 2 the person is doing it for himself so in case2 the machine will not be called as a capital good as it is used at home for ease of work and no final good is produced in this case.
Regards
This statement is correct as all machines are not used to produce goods some are used by individuals at their home to ease their work. Example : Case1 where a sewing machine is used by a tailor at his shop and in Case2 the person is using sewing machine at home. In case1 the person is using sewing machine to produce final goods so it is a capital good but in case 2 the person is doing it for himself so in case2 the machine will not be called as a capital good as it is used at home for ease of work and no final good is produced in this case.
Regards