capital goods

American  

plural noun

Economics.

1. machines and tools used in the production of other goods (contrasted with consumer goods).

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capital goods British  

plural noun

1. Also called: producer goods.  economics goods that are themselves utilized in the production of other goods rather than being sold to consumers Compare consumer goods

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capital goods Cultural  

1. Goods used in the production of commodities; producers' goods. (Compare consumer goods.)

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Etymology

Origin of capital goods

First recorded in 1895–1900

Compare meaning

How does capital-goods compare to similar and commonly confused words? Explore the most common comparisons:

• consumer vs. capital goods

Example Sentences

“Higher energy prices are likely to weigh on the global economy and dampen demand for Japanese products,” particularly capital goods not related to artificial intelligence, the economist said.

From The Wall Street Journal • Jun. 17, 2026

Data released Wednesday showed a 3.3% jump in core capital goods orders in March, the largest monthly increase since June 2020.

From Barron's • Apr. 29, 2026

Prices surged early this year for capital goods.

From MarketWatch • Apr. 15, 2026

The losers are sectors that depend on oil as an input, such as capital goods manufacturers.

From Los Angeles Times • Mar. 10, 2026

The varieties of capital, the distinction between capital and capital goods, and the law of diminishing productivity of such goods would appear in the most primitive economics as well as in the most advanced.

From Essentials of Economic Theory As Applied to Modern Problems of Industry and Public Policy by Clark, John Bates