What does the term "commodity" refer to in a general sense?

The term "commodity" in a general sense refers to a "product" that is typically a raw material or primary agricultural product that can be bought and sold. Commodities are interchangeable with one another, meaning that one unit of a commodity is essentially the same as another unit of the same commodity. Examples include crude oil, gold, wheat, and coffee. Commodities are characterized by their market fungibility, which is the ability for goods to be traded easily in the marketplace.

While services, resources, and assets can be related concepts, they do not accurately capture the definition of a commodity. A service is an intangible product, resources pertain to useful materials or tools necessary for production, and an asset can encompass a wide variety of items, including both tangible and intangible items that are owned and have value. Therefore, defining a commodity specifically as a product is accurate and reflects its role in economic transactions.