"A variety of measures of national income and output are used in economics to estimate total economic activity in a country or region, including gross domestic product, gross national product, net national income, and adjusted national income. National Income refers to net money value of all the final goods and services produced by the normal residents of a country during an accounting year. 2. Domestic Income refers to a total factor incomes earned by the factor of production within the domestic territory of a country during an accounting year. 3.The difference between these two incomes is Net Factor Income from abroad (NFIA), which is included in National Income (NY) and excluded from Domestic Income (DY). Where NFIA is the difference between income earned by normal residents from rest of the world and similar payments made to Non residents within the domestic territory. NFIA = Income earned by Residents from rest of the world (ROW) – Payments to non-Residents within Domestic territory. NY = DY + NFIA DY = NY – NFIA"

Sahreen Younis Ahanger

50 resources

0

0

0

Like