_____ at Market Price refers to the sum total of factor incomes earned by residents of a country during an accounting year including net indirect taxes.

Question

Question

This question was previously asked in

SSC CHSL Exam 2024 Tier-I Official Paper (Held On: 02 Jul, 2024 Shift 4)

Answer 1

The correct answer is Net National Product (NNP)

Key Points

Net National Product (NNP) at Market Price refers to the sum total of factor incomes earned by residents of a country during an accounting year including net indirect taxes.
It is derived by subtracting depreciation from Gross National Product (GNP).
It represents the net value of goods and services produced by the residents of a country.
NNP is an important indicator of the economic health of a country.

Additional Information

The calculation of NNP takes into account the depreciation of capital assets, making it a more accurate measure of economic performance than Gross National Product (GNP).
Net National Product (NNP) can be used to gauge the standard of living within a country, as it reflects the actual income available to the residents.
It is also used for international comparisons of economic performance.
Depreciation represents the wear and tear on the capital stock, which is why it is deducted from the Gross National Product to arrive at the Net National Product.
Higher NNP indicates a higher level of economic activity and prosperity within a country.