Question

Explain the problem of double counting in national income

Answer 1

Answer: While estimating the National income, the value of only final goods and services is included. ... So, double counting means a counting of an output more than once in the process of various of stages of production.

Answer 2

Explain the problem of double counting in estimation of national income by value added method. Answer: While estimating the National income, the value of only final goods and services is included. ... So, double counting means a counting of an output more than once in the process of various of stages of production.