In the context of national income, which of the following is included in both GDP and GNP?
A. Transfer payments
B. Net factor income from abroad
C. Depreciation only
D. Value of final goods and services produced within the domestic territory
Answer: Option D
Solution (By JKSSB Mock Tests)
The value of final goods and services produced within the domestic territory is the common base for both GDP and GNP. GNP adjusts GDP by adding net factor income from abroad.
Explanation:
The opportunity cost of holding money is the interest income that could have been earned by holding interest-bearing assets instead of cash.
Explanation:
The matching function in search-and-matching models describes how the flow of new hires depends on the number of unemployed workers and the number of job vacancies.
No comments yet. Be the first to start the discussion!