ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Definition: A producer is someone who creates and supplies goods or services. Producers combine labor and capital-called factor inputs-to create-that is, to output-something else. Business firms are the main examples of producers and are usually what economists have in mind when talking about producers.

Detailed explanation-2: -Producers are sellers. Producers are people or companies that make goods. Producers can also provide services. Producers sell their goods or services.

Detailed explanation-3: -What are producers and consumers? Consumers buy goods and services to satisfy their wants, and producers make goods and services. This video from the Explore Economics series for kids helps them understand that people are both consumers and producers. It uses easy-to-understand examples.

Detailed explanation-4: -Plants are producers. They make their own food, which creates energy for them to grow, reproduce and survive. Being able to make their own food makes them unique; they are the only living things on Earth that can make their own source of food energy.

Detailed explanation-5: -A market producer is an establishment or enterprise whose output is most or all marketed.