National Income

Question 1

The sum of net value added at factor cost of all producing units in domestic territory gives

Answer 1

NDP at FC

Question 2

National income is this sum of factor incomes accruing to

Answer 2

Residents

Question 3

A quantity measured per unit of time period is known as

Answer 3

flow variable

Question 4

A car running between Delhi and Agra at speed of 120 km per hour includes
A) only stock variable
B) only flow variable
C) both stock and flow variable
D) none of the above

Answer 4

Both stock and flow variable

Question 5

Aakar purchased by a taxi operator will be regarded as a

Answer 5

Capital good and final good

Question 6

Assertion: exports of goods and services are included in gross domestic product

Answer 6

Exports are included in the estimation of domestic income because exports are a part of domestically produced goods and services, or because exports are a part of goods and services produced within the domestic territory of a country. They are only sold outside the country.

Question 7

Assertion: double counting means counting the value of the same product more than once

Answer 7

Reason: value of intermediate goods get included because every producer treats commodity she sales as final

Question 8

Assertion: Unilateral transfers are not included in National Income calculation

Answer 8

Explanation: Unilateral transfer basically means transfer payments from any foreign country as is part of the transfer income or transfer payment.

Question 9

Assertion: scholar ship will not be added in national income as a factor payment

Answer 9

Reason: it is a transfer payment and does not contribute towards value addition.

Question 10

Construction of school building by government will be apart of

Answer 10

Government final consumption expenditure