Question

explain importance of final consumption expenditure by household​

Answer 1

Answer:

ᴛʜᴇ ᴍᴏsᴛ ɪᴍᴘᴏʀᴛᴀɴᴛ ᴘᴀʀᴛ ᴏғ ғɪɴᴀʟ ᴄᴏɴsᴜᴍᴘᴛɪᴏɴ ᴇxᴘᴇɴᴅɪᴛᴜʀᴇ ɪs ʜᴏᴜsᴇʜᴏʟᴅ ғɪɴᴀʟ ᴄᴏɴsᴜᴍᴘᴛɪᴏɴ ᴇxᴘᴇɴᴅɪᴛᴜʀᴇ. ... ᴀʟsᴏ ɴᴏɴ-ᴘʀᴏғɪᴛ ɪɴsᴛɪᴛᴜᴛɪᴏɴs sᴇʀᴠɪɴɢ ʜᴏᴜsᴇʜᴏʟᴅs ᴘʀᴏᴠɪᴅᴇ ɪɴᴅɪᴠɪᴅᴜᴀʟ ᴄᴏɴsᴜᴍᴘᴛɪᴏɴ ɢᴏᴏᴅs ᴀɴᴅ sᴇʀᴠɪᴄᴇs ᴛᴏ ʜᴏᴜsᴇʜᴏʟᴅs ғʀᴇᴇ ᴏғ ᴄʜᴀʀɢᴇ ᴏʀ ᴀᴛ ʀᴇᴅᴜᴄᴇᴅ ᴘʀɪᴄᴇs.

Answer 2

Final consumption expenditure by households is a key component of a country's Gross Domestic Product (GDP), which is a measure of the economic performance of a nation. It is the value of goods and services purchased by households for their final use and consumption, and it has several important implications for the economy.

Here are some key aspects of the importance of final consumption expenditure by household:

• Economic growth: Final consumption expenditure by households is a key driver of economic growth, as it represents the demand for goods and services in the economy.

• Employment: A strong demand for goods and services by households leads to an increase in production, which in turn creates employment opportunities and contributes to the overall well-being of society.

• Price stability: Final consumption expenditure by households helps to maintain price stability in the economy, as it represents the demand for goods and services at their market prices.

• Investment: A strong demand for goods and services by households also encourages businesses to invest in new production capacities, which contributes to further economic growth and development.

• Social welfare: Final consumption expenditure by households is also an indicator of the level of well-being of a society, as it represents the consumption of goods and services that contribute to the overall quality of life of individuals.

Overall, final consumption expenditure by households is an important indicator of the health of an economy, and it has significant implications for economic growth, employment, price stability, investment, and social welfare.

To learn more about GDP from the given link.

https://brainly.in/question/308879

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