Goods and Services
Kindergarten · Social Studies · Study Guide
Learn what goods and services are and how they help us every day.
Every day we use goods and services to help us live. Goods are things you can touch and hold — things that are made or grown and then sold. Food, clothing, toys, and books are all examples of goods. When you buy an apple at the store, you are buying a good.
Services are things that people do for others. A haircut, a doctor's visit, and teaching a class are all services. You cannot hold a service in your hands, but it still has value and helps people. When a plumber fixes a leaky pipe or a chef cooks your meal, they are providing a service.
People use money to buy goods and services. Workers earn money by doing their jobs, and then they use that money to get the goods and services they need. Businesses sell goods and services to earn money too. Understanding goods and services is the first step to learning about how our economy works!
| Goods (Things) | Services (Jobs People Do) |
|---|---|
| Apple | Doctor's visit |
| Book | Teaching a class |
| Shirt | Haircut |
| Toy car | Fixing a leaky pipe |
| Bicycle | Delivering mail |
Key terms
- goods
- Things that are made or grown and can be bought and sold
- services
- Work that people do to help others, which can be paid for
- money
- Coins and bills used to buy goods and services
- consumer
- A person who buys goods or uses services
- producer
- A person or business that makes goods or provides services
Flashcards
- Goods
- Things that are made or grown and can be bought and sold
- Services
- Work done by people to help others in exchange for payment
- Money
- Coins and bills used to exchange for goods and services
- Consumer
- A person who buys and uses goods or services
- Producer
- A person or business that makes goods or provides services
- Barter
- Trading goods or services without using money
Practice questions
Which of these is a GOOD?
- A haircut
- A doctor's visit
- An apple
- A lesson
Show answer
Answer: An apple
An apple is a physical thing you can touch and buy — that makes it a good.
A service is something you can touch and hold.
Show answer
Answer: False
Services are actions people do for others; you cannot hold a service in your hands.
Which of these is a SERVICE?
- A book
- A toy
- A shirt
- A haircut
Show answer
Answer: A haircut
A haircut is a service — it is work done for you by another person.
People use money to buy goods and services.
Show answer
Answer: True
Money is the medium of exchange we use to buy goods and pay for services.
Things you can touch and buy, like food or toys, are called ___.
Show answer
Answer: goods
Goods are physical items you can touch, like food, clothing, and toys.
Fun facts
- In the past, people traded goods instead of using money — this was called bartering!
- The United States produces billions of dollars worth of goods and services every single day.
- Even a smile or a kind word can be thought of as a service because it helps someone feel good.
Get a personalized course on Goods and Services built around your child.