Muft Shiksha™ एक 100% Free Education Portal है 🇮🇳, जिसका उद्देश्य Class 9–12 के हर विद्यार्थी तक High-Quality Education को पूरी तरह मुफ्त पहुँचाना है। 🇮🇳 हम मानते हैं कि अच्छी शिक्षा किसी student की आर्थिक स्थिति पर निर्भर नहीं होनी चाहिए। 🇮🇳 हर विद्यार्थी को वही Quality Study Material, MCQs, Quizzes, Exam Preparation, Concept-Based Learning और Bilingual Support मिलना चाहिए, जो आमतौर पर महंगी Coaching या Premium Platforms में मिलता है। Muft Shiksha™ 🇮🇳 इसी सोच के साथ बनाया गया है
SubjectsEconomics
राष्ट्रीय आय से संबंधित समुच्चय—शुद्ध राष्ट्रीय उत्पाद (NNP)
This Class 12 Economics topic, part of the chapter “National Income and Related Aggregates,” explains Net National Product (NNP) as the value of final goods and services produced by a country’s normal residents after deducting depreciation. Students learn how NNP is related to Gross National Product (GNP), distinguish NNP at market price from NNP at factor cost, and understand the role of net indirect taxes and depreciation in national income calculations. The topic also helps them interpret NNP as an indicator of economic activity and income.
TOPIC PRACTICE
Up to 6 questions from this page. Select your focus, then start.
NFIA is calculated as factor income received from abroad minus factor income paid to foreign factors. Therefore, NFIA = ₹1,250 crore − ₹980 crore = ₹270 crore. The result is positive because residents’ receipts from abroad are greater than payments made to foreigners. The negative answer would reverse the required order of subtraction.
The defining relationship is NNP = GNP − depreciation. If GNP and NNP have the same value, the amount deducted from GNP must be zero; therefore depreciation is zero. NFIA determines the difference between GDP and GNP, while NIT determines the difference between market price and factor cost. Neither of those conditions follows from GNP equalling NNP.
Per-capita national income equals total national income divided by population. Therefore, per-capita income = ₹5,000 crore ÷ 10 crore people = ₹500 per person. The crore units in the numerator and denominator cancel during division. Option B incorrectly reports the total income, while options C and D result from incorrect division. Hence option A is the correct answer.
The main difference between NDP and NNP is Net Factor Income from Abroad (NFIA). NDP measures the net value of production within a country’s domestic territory, whereas NNP measures the net value generated by the normal residents of a country. Therefore, NDP is converted into NNP by adding NFIA: NNP = NDP + NFIA. Depreciation is already removed because both measures are net aggregates.
The correct formula is NNP = NDP + NFIA, where NFIA means Net Factor Income from Abroad. NDP is a net domestic measure because depreciation has already been deducted, and it is based on production within domestic territory. To convert the domestic concept into the national concept, income earned by residents from abroad is added and income paid to foreign factors is accounted for through NFIA. Hence option B is correct.
In the traditional national-income framework, national income is NNP at factor cost. NNP represents net production of normal residents after deducting depreciation and includes net factor income from abroad; factor cost records factor remuneration. Thus option C is correct. GDP is domestic and gross, NDP is domestic rather than national, and GNP at market price includes indirect taxes net of subsidies.
QUIZ COMPLETE
