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Import MEANS to PURCHASE a commodity from outside our COUNTRY while export means to sell something to FOREIGN

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Your ANSWER is FALSE.......

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Hey dear,,,,,

here is your answer....

✔the part of income which is not spent on consumption is called SAVING

...ALONE BUT HAPPY.....

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Hi

good morning


Disposable INCOME, sometimes CALLED disposable personal income (DPI), is the total earnings a household makes that are available to save or spend after taxes have been paid. In other words, it’s a household’s take HOME pay after taxes and other employee deductions have been taken out of their paychecks.



What is the definition of disposable income? Disposable personal income is the amount of money that you receive in your paycheck. This amount is net of any income taxes, payroll taxes, health care deductions, retirement savings deductions, and other items taken out of your paycheck like cafeteria plans. This is your take home pay that you can CHOOSE to spend or save.

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HELLO MATE

EXPENDITURE METHOD - The expenditure method is a system for calculating gross domestic product (GDP) that combines consumption, investment, government spending and net exports. It is the most common way to estimate GDP, and it says everything that the private sector, including consumers and private firms, and government spend within the borders of a particular country, must add up to the total value of all finished goods and services produced over a certain period of TIME. This method produces NOMINAL GDP, which must then be adjusted for inflation to result in the real GDP.

BREAKING DOWN 'Expenditure Method'

The expenditure method is the most widely used approach for estimating GDP, which is a measure of the economy's output produced within a country's borders irrespective of who owns the means to production. The GDP under this method is calculated by summing up all of the expenditures made on final goods and services. There are four main aggregate expenditures that go into calculating GDP: consumption by households, investment by businesses, government spending on goods and services, and net exports, which are equal to exports minus imports of goods and services.

Main Components Under Expenditure Method

In the United States, the most dominant component in the calculations of GDP under the expenditure method is consumer spending, which accounts for the majority of U.S. GDP. Consumption is typically broken down into purchases of durable goods (such as cars and computers), nondurable goods (such as clothing and food) and services.

The second component is government spending, which represents expenditures by state, local and federal authorities on defense and nondefense goods and services, such as weaponry, HEALTH care and education.

Business investment is one of the most volatile components that goes into calculating GDP. It includes capital expenditures by firms on assets with useful lives of more than one year each, such as real estate, equipment, production facilities and plants.

The last component included in the expenditure approach is net exports, which represents the effect of foreign trade of goods and service on the economy.

Limitation of GDP Measure

GDP, which can be calculated using numerous methods, including the expenditure approach, is supposed to measure a country's standard of living and economic health. Critics such as the Nobel Prize-winning economist Joseph Stiglitz caution that GDP should not be taken as an all-encompassing indicator of a society's well-being, since it ignores important factors that make people happy. For example, while GDP includes MONETARY spending by private and government sectors, it does not consider work-life balance or the quality of interpersonal relationships in a given country.

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HELLO MATE

Net national product ---- Net national product (NNP) refers to gross national product (GNP), i.e. the TOTAL market value of all final goods and services produced by the factors of production of a country or other polity during a given time period, minus depreciation.[1] Similarly, net domestic product (NDP) corresponds to gross domestic product (GDP) minus depreciation.[2] Depreciation describes the devaluation of fixed capital through wear and tear associated with its use in productive activities.

In national ACCOUNTING, net national product (NNP) and net domestic product (NDP) are given by the two following formulas:

NNP = GNP - DEPRECIATION

NDP = GDP - DEPRECIATION

Although the net national product is a key identity in national accounting, its use in economics research is generally superseded by the use of the gross domestic or national product as a measure of national income, a preference which has been historically a contentious topic (see e.g. Boulding (1948)[3] and Burk (1948)[4]). Nonetheless, the net national product has been the subject of research on its role as a dynamic welfare INDICATOR[5] as WELL as a means of reconciling forward and backward views on capital wherein NNP(t) corresponds to the interest on accumulated capital.[6] Furthermore, the net national product has featured prominently as a measure in environmental economics such as within models accounting for the depletion of natural and environmental resources[7] or as an indicator of sustainability.

NET DOMESTIC PRODUCT ---- The net domestic product (NDP) EQUALS the gross domestic product (GDP) minus depreciation on a country's capital goods.

Net domestic product accounts for capital that has been consumed over the year in the form of housing, vehicle, or machinery deterioration. The depreciation accounted for is often referred to as "capital consumption allowance" and represents the amount of capital that would be needed to replace those depreciated assets.

If the country is not able to replace the capital stock lost through depreciation, then GDP will fall. In addition, a growing gap between GDP and NDP indicates increasing obsolescence of capital goods, while a narrowing gap means that the condition of capital stock in the country is improving. It reduces the value of capital that is why it is separated from GDP to get NDP.

Personal INCOME REFERS to all income COLLECTIVELY RECEIVED by all individuals or households in a country.

ANSWER:

False

Explanation:

Services of HOUSEWIVES are included in national INCOME. - False

Money value of the goods and services generated during the financial year in a nation. In other words, as a national income, the final outcome of all the nation's economic ACTIVITIES over a PERIOD of one year, valued in terms of money, is called. The housewives services are not included in the national income because the market value of such a service is hard to assess.

It is FALSE....... .

Hey, MATE here is UR answer....
It is TRUE that National income is computed every YEAR.

Hey DEAR,,,,

here is your ANSWER.....

✔national income is the subject matter of macro ECONOMICS...

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1. Commodity Pricing


Prices of individual commodities are determined by market forces of demand and supply. So micro ECONOMICS makes demand analysis (individual consumer behaviour) and supply analysis (individual producer behaviour).


2. Factor Pricing


Land, labour, capital and entrepreneur, all factors contribute in production process. So they get rewards in the form of RENT, wages, interest and profit respectively. Micro economics DEALS with determination of such rewards i.e. factor prices. So micro economics is also CALLED as 'Price Theory' or 'Value Theory'.


3. Welfare Theory


Micro economics deals with optimum allocation of available resources and maximisation of social welfare. It provides answers for 'What to produce?', 'When to produce?', 'How to produce?' and 'For whom it is to be produced?'. In short, Micro economics guides for utilizing scarce resources of economy to maximize public welfare.

Answer:

Features of Macro-ECONOMICS are -

• A unit of study - Macro-Economics deals with the study of the whole economy. This includes aggregate inputs such as the national income, national performance, national EMPLOYMENT, the GENERAL price levels, the business cycle.
• Money and interest theory - Changes in demand and money supply have a significant impact on employment levels. Accordingly, macroeconomics studies functions of money and related theories. Interest rates for banks and financial institutions are also studied in macroeconomics.
• Economy as a bird eye view - Macro Economics provides an overall picture of the economy. It brings together and connects different aggregates to SHOW the INTERRELATIONSHIP between them.

1. Commodity Pricing


Prices of individual commodities are determined by market FORCES of demand and supply. So micro economics makes demand ANALYSIS (individual consumer behaviour) and supply analysis (individual producer behaviour).


2. Factor Pricing


Land, labour, capital and entrepreneur, all factors contribute in production process. So they get
rewards in the form of rent, wages, interest and profit respectively. Micro economics deals with determination of such rewards i.e. factor prices. So micro economics is also called as 'Price Theory' or 'Value Theory'.


3. Welfare Theory


Micro economics deals with OPTIMUM allocation of available resources and MAXIMISATION of social welfare. It provides answers for 'What to produce?', 'When to produce?', 'How to produce?' and 'For whom it is to be PRODUCED?'. In short, Micro economics guides for utilizing scarce resources of economy to maximize public welfare.

1. Commodity Pricing


Prices of individual commodities are determined by market forces of demand and supply. So micro economics makes demand analysis (individual consumer behaviour) and supply analysis (individual producer behaviour).


2. FACTOR Pricing


Land, labour, capital and entrepreneur, all factors contribute in production process. So they get rewards in the form of rent, wages, interest and profit RESPECTIVELY. Micro economics deals with determination of such rewards i.e. factor prices. So micro economics is also called as 'Price Theory' or 'Value Theory'.


3. Welfare Theory


Micro economics deals with optimum ALLOCATION of available resources and maximisation of social welfare. It provides answers for 'What to produce?', 'When to produce?', 'How to produce?' and 'For whom it is to be produced?'. In short, Micro economics guides for UTILIZING SCARCE resources of economy to maximize public welfare.

Macroeconomists study aggregated indicators such as GDP, unemployment rates, national INCOME, price indices, and the interrelations among the different sectors of the economy to better understand how the whole economy functions. They also develop models that explain the RELATIONSHIP between such factors as national income, output, consumption, unemployment, inflation, savings, investment, international trade, and international finance.

While MACROECONOMICS is a broad field of study, there are two areas of RESEARCH that are emblematic of the discipline: the attempt to understand the CAUSES and consequences of short-run fluctuations in national income (the business cycle), and the attempt to understand the determinants of long-run economic growth (increases in national income). Macroeconomic models and their forecasts are used by governments to assist in the development and evaluation of economic policy.

Hey user,
here is your answer :-

>>>>>> The main DIFFERENCE between partial and general equilibrium is the determination of price and quantity in the market .
partial DEAL with only one market while general deal with the. market in the economy and their interaction .....

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@JAAT...

Your ANSWER is that...

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Your ANSWER is that....

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Answer:

This given statement, "Increase in national income is a Micro-Economic GOAL." is FALSE.

Explanation:

This statement is false because increasing national income is a macro economic GOALS.

Macro economic goals are the ones which take a look at the employment of a COUNTRY, stability and growth. Increasing national income is one of those FACTORS which are labelled as a goal in ACCORDANCE with how the growth of the country is increased.

Agreed
supply of land is fixed
the amount of soil which is present on the Earth's SURFACE neither can be EXTENDED for can be COMPRESSED
land is again categorized into many categories like FORESTS , GRASSLANDS , etc

Hi.

The characteristics or features of capital are:-

Man-made Factor : Capital is not a gift of nature. So it is not a primary or NATURAL factor, it is made by man in capital goods industry. It is secondary as well as an artificial factor of PRODUCTION.

Productive Factor : Capital helps in increasing level of productivity and speed of production.

Elastic SUPPLY : Supply of capital depends upon capital formation process. Capital formation depends upon savings and investment. By accelerating capital formation, capital supply can be INCREASED. But it is a long term process.

Durable : Capital is not perishable like labour. It has a long life subject to periodical depreciation.

Easy Mobility : Movement of capital from one place to another is easily possible.

Is a Wealth : Since capital has all features of wealth viz. utility, scarcity, transferability and externality, capital is a wealth but wealth doesn't necessarily become capital.

Derived DEMAND : As a factor of production, capital has a derived demand to produce finished goods which have a direct demand. e.g. demand for raw cotton is derived from demand for cotton cloth.

Round about production : Capital goods doesn't satisfy our wants directly. But resources should be diverted towards production of capital goods first. And thereafter such produced mean can be used to produce consumer goods having direct demand.

Social Cost : Resources have alternative uses. Either they can be put to production of capital goods or consumer goods. When resources are used for producing capital goods, it means society has sacrificed enjoyment of consumer goods. This is called social cost

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Hi

The forms, classification or types of capital are:-

Fixed capital : It refers to durable capital goods which are used in production again and again till they wear out. Machinery, tools, means of transport, factory building, etc are fixed capital. Fixed capital does not mean fixed in location. Since the money invested in such capital goods is fixed for a LONG period, it is called Fixed Capital.

Working capital : Working capital or VARIABLE capital is referred to the single use produced goods like raw materials. They are used directly and only once in production. They get converted into finished goods. Money spend on them is fully recovered when goods made out of them are SOLD in the market.

CIRCULATING capital : It is referred to the money capital used in purchasing raw materials. Usually the term working capital and circulating capital are used synonymously.

Sunk capital : Capital goods which have only a specific use in producing a particular commodity are called Sunk capital. E.g. A textile weaving machine can be used only in textile mill. It cannot be used elsewhere. It is sunk capital.

Floating capital : Capital goods which are capable of having some alternative uses are called floating capital. For e.g. electricity, fuel, transport vehicles, etc are the floating capital which can be used anywhere.

Money capital : Money capital means the money funds available with the enterprise for purchasing various types of capital goods, raw material or for construction of factory building, etc. it is also called liquid capital. At the beginning the money capital is required for two purposes one for acquiring fixed assets i.e. fixed capital goods and another for purchasing raw materials, payment of wages and meeting certain current expenses i.e. working capital.

Real capital : On the other hand, real capital is referred to the capital goods other than money such as machinery, factory buildings, semi-finished goods, raw materials, transport equipments, etc.

Private capital : All the physical assets (other than land), as well as investments, which bring income to an individual are called private capital.

Social capital : All the assets owned by a community as a whole in the FORM of non-commercial assets are called social capital e.g. roads, public parks, hospitals, etc.

National capital : Capital owned by the whole nation is called national capital. It comprises private as well as public capital. National capital is that part of national wealth which is employed in the reproduction of additional wealth.

International capital : Assets owned by international organizations like UN, WTO, World Bank, etc., constitutes an International Capital.

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We now EXTEND our analysis of general equilibrium to the SPHERE of production. Production of GOODS requires the use of INPUTS or factors of production. The level of production of goods depends UPON the allocation of resources to them

The first requirement for production of goods and SERVICES is land and other NATURAL RESOURCES that is , water , forests , MINERALS .

Labour refers to the people who do the work . this include skilled and UNSKILLED labour . some production activities require highly EDUCATED workers to perform the necessary TASKS. other activities require workers who can do MANUAL work.

A CAPITALIST

A capitalist is a LEADER of ORGANIZATION.

• Capital is regarded as a primary factor of production.

• Because it relates to the investment of goods brought with money in production.

• For example, we can buy something for a reason it is referred to as capital.

• In economic studies capital is a source for production.

• Capital is very important for human uses that MEANS we can produce goods and services by using capital resources.

• Some of the capital resources are LIKE EQUIPMENT, computers and MACHINERY, etc.