National income, observes the Nobel Lanreate economist Simon Kuznets is the end product of a country's economic activity. The study of national income estimates is very useful as it gives us a systematic view of the whole economy. It is, indeed, the barometer of measuring a country's economic progress. For this reason, Benham remarks, "The best way to get a [...]
The following points highlight the top uses of national income data. The uses are: 1. Population 2. Composition of output 3. Distribution of income 4. Different national currencies 5. Statistical limitations. Use # 1. Population: A higher national income clearly does not mean a higher standard of living if the extra income is shared among more people. The standard of [...]
Get the answer of: Are NNP and NNI Identical? National income is the net value of all goods and services (national product) produced annually in a nation. There are two measures of national income. One is the market price measure and the other is factor cost measure. The national income at market price has to be adjusted properly to arrive [...]