NAT1oNAL
GNP GDP4 NfIA
NFIA- Nes fad nom fevm , 1sud
NNP GNP epriio}ion
7 o (optol fo
Dep
Indierss ubed.
NNfuP
i) NI (NNFe) =
hiSNahona Intome ( ) o fothor (stt
ik shows Fhe inume achuoy 1 s
B w2
he factovs oproduuhm Hents, mnoy vaus +
lndresi to
Pie (NNp)
minus
NNP at Mauk
Subri eies iss s /NNPe)
Nohvnas In
forfor Solwing Numuicalk
GDP+ NFIA
(1 GNP =
obrood
NFIA
Net tact Intem from
Depriciaim
NNP =NP
(1)
Depi
7.
of [Link] lrdtsh + Subsidie
NI (NNPre) = NN
(fi) Calulatrng_Natzna
Appoaches fr
Three
n Com
Methsd or Vzkue tdded
Oulput Approoch (Pro
ducs
PimaT
3 Sects SeundaLy
lutary
Valuu Added Value ofoulput - Value o
Method
GVAMP
(VAM) + (GVAMP +GVAMr - GVA
Pimany Seeondau Tubay Enhre
'secho Seetor Etona
GGVAMP GD PMP e r en hre esonony
GVAMe)= (Sales t Astoche In tamediat
Cem 3n
NDMP GDPmP Depi ciahm
ND Pup -
JT' + Subsidi NDPe
(Inelieot
tax )
NDPec t NFI= NNPF (NI)
Marke v aluue of fmal pridus
Ways of
Cal aulatmg Value Added Appro ach
GDP
Example Mamufaohua of JeansMP> 150
yalie Adode.d ApproahaddadMauket vValue
of Cotton
(41o)fMauas
Mauket
acldd Vaue abie410)
thread ($10 M As£ MVA
Jean (420
= 50
melthod, h e valu of
arespeeHue othe.
'Should
same
be he
GDP hctten?
Value Addeo melhod
why
kasien to aluulali m Caa f mplex 4uP
chams
Chunn
US CTeans)
China Cfabn'c VA m
VA m
Thread)
CalulaL
C alulali
b able to
Should b
Than
Then you
domesh'c Couny
Approaok
Ouput
while sma
recalhens
i) eshmamg GDP l o he
hous mg
ocupieol
rent of Sejf
mputed h
ne t
t l ud
u de
edo
i n u d e
e)
Not to be To
be
hand-povds coraunmphom
Swmd
on tor self a
produeh b e i n d l u d e d
Vane of
Induded wort
Not to
d f h i u l t t o C s m p u l a
Hoase
Svices
Suvices
of
Houa iues
s
Nahonal n toma
APPROACH
a)INcOME ingmes aall
the
Summing p of
9bfained by
nidials of ha Countmy
ha indi Intome t
roprietor's
fmployee Compensatfm +
Net m tuest
Rontal Intme t Cr porali.+
Prof Total
ntem
eaned by al) faskso
h e m commes
paid o
all
by
Summing up
u e wll
we
obtun
ill da
der
suetors
au h e lndustiaw h i c h b alao Called
l ND Pr
a l l e d (Nb Prc)
nmes
factor
lauheol
hIEIA NNFfe
Henca lotal inComu
by all faofrs o
prod
NDPre )
not
wu be NDPfe and
laneel
I n comes t hat of depriei-
Come e a r n u e l
GDPMP becejn
iDPmp
relevaht ony m aoe f apital foek)
ahien (ohich i Indtreet
I ades
n d t r e tares
prala oany
a n d alao
do
es
not in or whon he outpnt
zelwant
Or B u b r i o u e s (shich are
sSd
mmaket place)
s
tallen When uung In c o n e Approaeh
Yse cauh m a to be
Paymenonot to be mduded
G) sanufa
11)llegal momoy n o t Incud ed
not lntudesl
Coindfa a
aifH tax, ealt tax
v) Coporale frnft tan,
(iv) Corpo
be Intund ed upe atsly
mot to
iadudeol
muwme - hot to be
Second hand gov
do
nMChod
tn Calalale (qf (")
al Naliml itnnd
Melhod aiues
pd" (Rpeuditusts
moo
all Jho
addmg uf a
Senuico dsnr fah o
nds NX
Con nuen Nel fyrd
CDlMP kxpd
N) Depriaation
Indlreet Subiduon
N NNMP HaR
n g hn m
m ee
dhlt
odd
NI) NNPFfe thin
whn
ummg
lalben
be I n u d e e l .
Inudes!
w
to hu
DeCauhms
he
hof
not
qoods
Hand Inudes(met
Second
(D to be
kypa No
mfanual claiu
bonds
shaues z
h o t hend e d
()
in
noor
reen
r t
to
) ranafea laymens o f
mauded
m d u d e d
Nof
hfeametale
goodh ) aveid douhu cewnmg
w)
nn
jamp
LtI+Gt NÅ-G6u GDPANHIA-6
NP
Go-Be. NDM
ITSub - NA pe
NDP
-
NDFc+(NFIA ) NNPre.(NT)
fad
Cs
SWDw
ansuns
(Thtwo
onal In tom b d s C
Calulali Nai Expdmoho
anom
Hdkod () 800
Cempensabim of employes 1,260
G)
Pivat fmal Cans epd 5b0
CD
CI) Pro fiu
(I) Raut
lomgh eapodn
(V) GaovB
ma 150
(vi) 1ntuut
VIu) NFIA
190
(Vin) Net lndisent Tax 630
Sufemployed Intome
-3o)
Cx)Nu eaports 5bO
omahm
Net Dom Cap.
(I)
Cong
Ca
ef fud ap
(AI)
S o I a m e Mahod
23o0
+200+Isd t 630 20
8 6ro+5oo (NF14) NLY
NDYfe
Nx
Mehod C+I +G +
(1) pd"
500 = 247o (NDPMP)
1&6D +8ov
-
30t
490
(NDt)(NEIA)
(NNPMP)
NNPMP
-
T+ Subsidios
NI NNPre 2490190
300
(aluulali NL ng a) htome Mthad
6Expd Muthod
Mhod:
9o1h- Intome (3 0eo
Teo t 2OD t20D + 270 +boo +30 NNPpo
NFJA (NI)
ND'fc
)pdh mathod.
(NNAue)
(-20)+ 600 =
31o
16-00+ ISOO+
tax + supsi oluas
NN PMP
-
Indir
NI
(NNPe) 3I10
3 6-e0
Addesl
Yalue Addes
Vame
Nah mal
Inuma y
Catulali
Qc)
e) Methoe
output) Meod
Mehod (N
Gros v a num Depme
Solh ND MP Congn
Qupuk
-(55o041500)
18,00
I8,0-00 (7o-
NDfM 1,-00
NNPMP
.NDlMPt NHA
9-60-2 5 0 = lo,750
N
NI ***
NNMp 1T+ Sub 10,TSO -goD+ Ne
al ul al NL hu Value Addd Mhod
Sal Gbp (12tb-leo)+ (100-3oo)f
=
(tov-2
,1bo 4 600 t 50D
,200
GD MP depiciah on ND PM P
2,200 75 125
NDPMp + NFIA = NNPMP
25 aIS0
125
NNPMPIT Sub = NN NI)
2156 - 3 0 t 10 NNPfC
130 N I
Cal ulal NI
Gn b PP (20e0-c0)+ (2,8bo-8 to)+(l6o0-bo)
GDM (1E0o ) t (2e6o )* (0o)
4800
GD'Mp -
Depntiadhun Nb Pm P
48oD 4to 4330
NDPMPt NEJ NNPMP
4330 +(30) 4 4 300
NNPMP- IT+ lub » NNPec
4000+ Ans (NI)
data. calculate national income hy al Incom
Lfollowing
the
folle
F r o m
method
) Expenditure
d tb Rs in crores
ol emplovees
800
'ompensation
t consumption
espenditure 1.200
Private final 500
/uin
( i t i Profits 200
Rent
expenditure
800
final consumption
Government 150
A
(rInterest
20
abroad
income from 190
factor
(vii Net
indirect taxes 630
lviii Net
self-employed
income of (-130
Mixed 230e
lixr 500
S / Net exports formation
domestic capital 150
(xi) Net
Consumption
of fixed capital
(ziü)
by la) Income method,
national income
following data caleulate
From the
82 b Expenditure method.
Rs in crores)
1,000
finaal consulmpton expenditure
Cioverument
i TO0
i P'rolits 110
tax
titi Net indirect 1.500
P r i v a t e final
cwnsumption expenditure
1-120
/ ) Net exports 3 000
1,200
200
(eii Rent
270
riil Interest
abroad 30
Jix) Net factor income from
600
r) Mixed income of
self-employed
formation 700
(ri) Gross domestic capital
formation 600
iir Net domestic capital
Ans.: Rs 3,000 crores)
3))dnvaluetheadded
basis of information given
(net output) method:
below, estimate national income by
(Rs in crores)
(i) Gross value of output at market prices 18,000
ii) Value of intermediate consumption 5,500
(ii) Depreciation 9,0SO 1,500
(iu) Indirect taxes 10 800
(u) Subsidies 100
(ui) Net factor income from abroad (-250
A From the following. information caleulate national
method income by value
added
Value of output (Rs in crores
a) Primary Sector 2130
(6) Secondary Sector 1,200
(c) Tertiary Sector 900
() Intermediate consumption 700
of
(a) Primary Sector
(6) Secondary Sector 100
(c Tertiary Sector 300
ti Net factor income
from abrod 200
(i Consumptkn of fixed capital 25
Indirect taxes
75
Subsidics
30
10
&5) From the folloiving data. calcukale national
incone bv net
vutput ethu«i
( Value ot R in trurrsi
output in
prinnary seclor
i Intermediate consumption of
-.vüi
liii) Value of output of
primar srlor
200
secondary sector
ic)
Intermediate consumption of 2.800
secondary sector 800
( Value of output of tertiary sector
(vi Intermediate consumption of I.600
(rii) Net
tertiary sector 600
factor income from abroad
(viii Net indirect taxes 430)
(ir) Depreciation 4600 300
470