Can You Define What Is A National Income?


6 Answers

Sudipa Sarkar Profile
Sudipa Sarkar answered
By national income of a country we mean the sum total of incomes earned by the citizens of the country during a given period of time due to their participation in the production process. It is usually measured for a year. It should be noted that national income is not the sum of all incomes earned by all individuals. Only those incomes which accrue due to participation in the production process are included in the national income total.

Individuals may participate in the production process by supplying different factors of production. There are four factors of production – land (or natural resources), human labour, man-made means of production (or capital) and organization. The payment for the use of land is known as rent. Payment for the use of human labour is known as wage and payment for the use of capital is known as interest. The factors of production – land, labour, and capital are known as primary factors of production and the corresponding payments are known as factor incomes.
gupta Profile
gupta answered
National income means it is the money that is earning by government from people through taxes.
SaSha Profile
SaSha answered
National Income measures the total amount of goods and services produced as a result of combining together the productive factors include the (4Ms):
- Manpower
- (Raw) Materials
- Money
- Management skills
Anonymous Profile
Anonymous answered
National income is the aggregate of four things i.e wages,rent,interest and profit.all the income generated from these resources or in the other words the sum of money generated from wages,rent,interest and profit is national income.
masood bhatti Profile
masood bhatti answered
National income of the country is the income which is measure able with in a specific given period and in which include the earnings of the people living in the country; as
earning from Land
earning of Labour
earning from sale of raw material
and profit on capital

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