Intermediate inputs are the goods or services purchased by a business for immediate use in the production process. The items and services that are utilized in the manufacturing process to create other goods or services rather than being used for end use are known as an industry's intermediate inputs.
These include energy, raw materials, semi-finished products, and services that are obtained from all sources. It is equivalent to the sector's gross output minus value added . They might be changed or consumed during the production process. Land, labor, and capital are not considered intermediate inputs because they are fundamental inputs.
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