InterviewSolution
Saved Bookmarks
InterviewSolution
| 1. |
State with reasons whether you agree or disagree with the following statements:National Income is an important tool to measure the overall performance of the economy.ORThe concept of National Income has an important place in Economic development. |
|
Answer» Yes, I agree with this statement. National Income is one of the important indicators of economic growth and development. National Income is a macro variable that represents the economy as a whole. When there is an increase in National Income it indicates that the country’s production of goods and services have increased, employment increases, trade with rest of the world increases. When National Income of a country increases at a higher rate than the rate of increase in population, it leads to improvement in the standard of living and welfare of the people. The Per Capita Income also increases when National Income increases. Therefore, National Income is an important tool to measure the overall performance of the economy. |
|