Category: Class 12 Economics

The following post gives a brief description about the methods for the calculation of National Income with their precautions and formulae. Let’s go through one by one.

National income, refers to the sum total of factor income which is earned by normal residents of a country during an accounting year.

In economics, the goods are broadly classified into four ways which are as follow. Final Goods: Final goods refer to those goods which are available for the final user for consumption or those goods which have crossed the boundary line of production and no value addition is possible. Intermediate Goods: Intermediate goods are those goods

The word Macro in English comes from a Greek word Makros which means Large and large is read as economy as a whole in the context of Macroeconomics.