State the various components of the Expenditure Method that are used t

1.	State the various components of the Expenditure Method that are used to calculate National Income. Components of Expenditure Method:(i) Private Final Consumption Expenditure (ii) Government Final Consumption Expenditure (iii) Investment Expenditure (iv) Net Exports (X - M).
Answer» (i) Private Final Consumption Expenditure (C): It refers to expenditure on final goods and services by the individuals, households and Non-profit Institution Serving Society. (ii) Government Final Consumption Expenditure (G): It refers to expenditure on final goods and services by the government, like expenditure on the purchase of goods for consumption by the defence personnel. (iii) Investment Expenditure (I): It refers to expenditure on the purchase of final goods by the producers. (iv) Net Exports (X - M): It is the difference between exports and import during an accounting year.

State the various components of the Expenditure Method that are used to calculate National Income. Components of Expenditure Method:(i) Private Final Consumption Expenditure (ii) Government Final Consumption Expenditure (iii) Investment Expenditure (iv) Net Exports (X - M).

Answer»

(i) Private Final Consumption Expenditure (C): It refers to expenditure on final goods and services by the individuals, households and Non-profit Institution Serving Society.

(ii) Government Final Consumption Expenditure (G): It refers to expenditure on final goods and services by the government, like expenditure on the purchase of goods for consumption by the defence personnel.

(iii) Investment Expenditure (I): It refers to expenditure on the purchase of final goods by the producers.

(iv) Net Exports (X - M): It is the difference between exports and import during an accounting year.

Discussion

No Comment Found

Related InterviewSolutions

What were the two main occupations of the Rig Vedic Aryans?
Name the two political institutions which exercised check on the powers of the King in the Rig Vedic period.
What w’as the position of women in the Rig Vedic age ?
Describe the social life of the Rig Vedic Aryans with reference to the following: (a) The Family Structure (b) Position of Women (c) Varna System
With reference to the following explain the main features of the Rig Vedic Economy: (a) Agriculture (b) Domestication of Animals (c) Trade Transactions, Crafts and Transportation
Mention any two archaeological sources to reconstruct the later Vedic Age.
Mention any two of the Ashrams in the life of a man in Aryan society.
What information do we gather from the later Vedic literature in respect of: (a) Spread of Vedic Civilization to many New Regions. (b) Role of Iron in later Vedic Economy.
Mention briefly the rituals and sacrifices of the later Vedic Aryans?
What is the message of the Bhagavad Gita?