Question:

GDPF = Gross Domestic Product at Factor Cost; GDPM = Gross Domestic Product at Market Price; NNPF= Net National Product at Factor Cost; C = Consumption; I = Investment; G = Government Expenditure; X = Export; M = Import; T = Tax; S = Saving; D = Depreciation; NIA = Net Income from Abroad
Which of the following expressions is/are CORRECT?

Updated On: Oct 1, 2024
  • 𝐺𝐷𝑃𝐹 = 𝐢 + 𝐼 + 𝐺 + 𝑋 – M
  • 𝐺𝐷𝑃𝑀 = 𝐢 + 𝐼 + 𝐺 + 𝑋 – M
  • 𝑁𝑁𝑃𝐹 = 𝐢 + 𝐼 + 𝐺 + 𝑋 – 𝑀 – 𝑇 + 𝑆 – 𝐷 + 𝑁𝐼A
  • 𝑁𝑁𝑃𝐹 = 𝐢 + 𝐼 + 𝐺 + 𝑋 – 𝑀 – 𝑇 + 𝑆 – D
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The Correct Option is B

Solution and Explanation

The correct option is (B): 𝐺𝐷𝑃𝑀 = 𝐢 + 𝐼 + 𝐺 + 𝑋 – M
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