In the context of national income, which of the following is included in GDP but not in NNP?
A. Net indirect taxes
B. Depreciation
C. Subsidies
D. Net factor income from abroad
Answer: Option B
Solution (By JKSSB Mock Tests)
GDP includes depreciation (capital consumption). NNP is obtained by subtracting depreciation from GNP. Thus depreciation is part of GDP but not of NNP.
No comments yet. Be the first to start the discussion!