Relations of Production

They are products and services used to produce other goods and services such as machinery, tools, raw materials, seeds, tractor

Producer goods

A trade which is done in the form of monetary payments and purchases.


The allocation of income and correspondingly of goods or services that is consumed by individuals, households, or corporations


The process of utilizing or employing what is produced to continue the production process.


These are the outputs which are tangible and can be held.
Ex: food, clothing, books


These are the outputs which are non-tangible but nonetheless useful and essential to the economy.
Ex: Education, health care, transport


They are capable of creating new goods and services. They exert physical and mental effort and energy. They have the capacity to work or labor-power.


People use this input and transform part of it into raw materials and waste.

Natural Environment

It is commonly known as machineries, these are the instruments of production by which people work on or process these materials to produce goods on to perform services.

Manual Tools

These are final finished products and services directly used by people such as food, clothing, housing, education, health care

Consumer goods