Match the items of List – I with the items of List – II and indicate the code of their correct matching…
In national income accounting, the Expenditure method views the economy as a collection of spending units ((a)-(iii)); the Net product (value-added) method views the economy…
Choose your answer
Match the items of List – I with the items of List – II and indicate the code of their correct matching with regard to methods of measuring national income :
| List-I | List-II |
|---|---|
| (a) Expenditure method | (i) When the entire national economy is considered as an aggregate of producing units |
| (b) Net product method | (ii) When national economy is considered as combination of factor owners and users |
| (c) Factor income method | (iii) When national economy is viewed as a collection of spending units |
Answer and explanation
Correct answer B
In national income accounting, the Expenditure method views the economy as a collection of spending units ((a)-(iii)); the Net product (value-added) method views the economy as an aggregate of producing units ((b)-(i)); and the Factor income method views the economy as a combination of factor owners and users ((c)-(ii)).
Practice for these exams
-
UGC NET Management