Intermediate Goods Economics is a branch of economics that examines the production, use, and exchange of intermediate goods. In other words, intermediate goods are those products used in the production of final goods. Examples include component parts, raw materials, and subassemblies. This field of study examines the economic impact and effects of the flow of these goods between businesses, producers, and purchasers in order to understand the dynamics of an economy. For example, how do increased production processes affect prices? How does demand fluctuate? By studying Intermediate Goods Economics, businesses gain invaluable insights into their market and can make informed decisions to ensure profitability.