Question

correct and rewrite the statement which gross national happiness GNH of our country is the sum of the value of all final goods and service produce in all the three sector in a particular area​

Answer 1

Answer:

(i) Gross Domestic Product (GDP) is the total value of all the final goods and services by all the enterprises (both resident and non-resident) within the domestic territory of a country in a particular year. GDP is considered as one of the best indicators of judging the economic performance of a country.

GDP = C+1+G+X-M

(ii) Gross National Product is defined as the total value of all final goods and services produced in a country in a particular year, plus the income which is earned by its citizens who are located at abroad and minus the income of non-residents located within the country.

GNP=GDP+Net factor income from abroad

Net Domestic product (NDP) = GDP-Depreciation

Net National product (NNP) = GNP-Depreciation

(iii) Net National Product at Factor Cost (NNPFC) is the sum total of factor incomes (rent + interest + profits + wages) earned by normal residents of a country during the period of an accounting year. It is also known as the National Income.

NNPFC = GNPFC – Depreciation

or

NNPFC = NDPFC + NFIA

(iv) Personal Income is the income actually received by the individual households from all sources in the form of current transfer payment and factor incomes.

(v) Personal Disposable Income is the amount, which is actually available to the households and the noncorporate businesses after the deduction of all tax obligations to the government.

Personal Disposable Income = Personal Income – Direct Personal Taxes – Miscellaneous Receipts of the Government.