Explain why transfer payments are excluded from national income statistics.

Q: In an economy:- National income is $10,000 million and net factor income from abroad is $6700…

A: The information being given to us is as follows:- National Income = $10,000 million Net factor…

Q: Over the years, as the US has passed from an industrial to a service economy, have US national…

A: The objective of the question is to understand if the transition of the US economy from an…

Q: Calculate national income if NDPFC is $2300 million and net factor income from abroad is $500…

A: According to the above given question, the values given are:- NDPFC = $2300 million Net factor…

Q: measure of national income, explain why, in theory, national income should equal national…

A: Answer In macroeconomics, with regards to measurements of national income, the country's national…

Q: Nominal income measures the amount of income you are paid in any given year by your employer. True…

A: Nominal income refers to the actual income in monetary terms, without considering inflation. Real…

Q: The value of the nominal GNP of economy was $ 6000 in a particular year. The value of the GNP of…

A: The GNP order the gross national product is the value of final goods and services that are produced…

Q: Find the value of national income of Austria if the net domestic product at factor cost in Austria…

A: The information being given to us is as follows:- Net domestic product at factor cost = $96 million…

Q: Calculate NDPFC if :- National Income = $23,000 Net factor income from abroad = $12,000

A: The data presented in the question above is:- National Income = $23,000   Net factor income from…

Q: Personal Consumption Expenditures $ 400 Government Purchases 128 Gross Private Domestic Investment…

A: The National Money is the total amount of income earned by a country from economic activity over the…

Q: explain how gross product is calculates using the income approach

A: Gross domestic product is sum of value of all the goods and services that are produced in a country…

Q: Proprietors Income $ 35 Compensation of Employees Consumption of Fixed Capital Gross Investment 315…

A: The Net Domestic Product (NDP) is the total value of all final goods and services produced within a…

Q: What is national income (NI)? What does NI measure?

A: "The market value of goods and services produced within an economy, in an specified period of time"…

Q: Briefly describe how to avoid double counting while calculating national income

A: National Income is the final value of goods and services produced in an economy during a given year…

Q: The table below shows the data for the country of Magnolia. Complete the national income accounting…

A: National income accounting refers to the government bookkeeping system which is a measure for a…

Q: Calculate the national income for 2021 if the national domestic product at factor cost is $6500…

A: The information being given is:- National domestic product at factor cost = $6500 million Net factor…

Q: What is Gross Domestic Product? What is included in this statistic? What is excluded?

A: (Q)What is Gross Domestic Product? What is included in this statistic? What is excluded?

Q: If National income is $3250 million and NDPFC is $2500 million Find net factor income from abroad

A: According to the above mentioned question, the values are:- National Income = $3250 million NDPFC =…

Q: The GNP deflator is 188 and Real GNP is $12,500 Calculate Nominal GNP

A: The information being given is:- GNP deflator = 188 Real GNP = $12,500 Nominal GNP = ?

Q: What are intermediate goods? Why do economists exclude the value of intermediate goods while…

A: Intermediate goods, producer goods or semi-completed products are goods, like mostly completed…

Q: Explain how gross domestic product is calculated using each of the following: the income approach…

A: Gross Domestic Product ( GDP ) refers to the market value of the final goods and services produced…

Q: Suppose GDP at Market Price is $ 13500, Consumption expenditure is $1500, Government expenditure is…

A: GDP at market price = $13500Consumption expenditure = $1500Government expenditure = $500Net exports…

Q: Use the table to answer the questions. Assume firms pay all profits out to resource owners, there is…

A: The total financial or market value of all finished merchandise and services made within a country's…

Q: How should the following activity be treated in estimating national income of a country. Give…

A: National Income helps us gain the idea about the total wealth the nation has generated within a year…

Q: If National income is $1300 million, net factor income from abroad is $500 million Find the value…

A: The information given to us is as follows:- National Income of the country = $1300 million Net…

Q: Bonus Question: Based on the table below, calculate National income and then GDF using the income…

A: The income method of measuring national income concentrates on productivity. Land, labour, money,…