Introduction to Micro and Macro Economics
- Types of Utility
- Concepts of Utility
- Relationship Between Total Utility and Marginal Utility
- Law of Diminishing Marginal Utility
- Assumptions of Diminishing Marginal Utility
- Exceptions to the Law of Diminishing Marginal Utility
- Criticisms of the Diminishing Marginal Utility
- Significance of the Diminishing Marginal Utility
- Relationship Between Marginal Utility and Price
- Diminishing Marginal Utility
Elasticity of Demand
Forms of Market
- Concept of National Income
- Features of National Income
- Circular Flow of National Income
- Different Concepts of National Income
- Methods of Measurement of National Income
- Output Method/Product Method
- Income Method
- Expenditure Method
- Difficulties in the Measurement of National Income
- Importance of National Income Analysis
Public Finance in India
Money Market and Capital Market in India
- Financial Market
- Money Market in India
- Structure of Money Market in India
- Organized Sector
- Reserve Bank of India (RBI)
- Commercial Banks
- Co-operative Banks
- Development Financial Institutions (DFIs)
- Discount and Finance House of India (DFHI)
- Unorganized Sector
- Role of Money Market in India
- Problems of the Indian Money Market
- Reforms Introduced in the Money Market
- Capital Market in India
- Structure of Capital Market in India
- Role of Capital Market in India
- Problems of the Capital Market
- Reforms Introduced in the Capital Market
Foreign Trade of India
Introduction to Micro Economics
- Features of Micro Economics
- Analysis of Market Structure
- Importance of Micro Economics
- Micro Economics - Slicing Method
- Use of Marginalism Principle in Micro Economics
- Micro Economics - Price Theory
- Micro Economic - Price Determination
- Micro Economics - Working of a Free Market Economy
- Micro Economics - International Trade and Public Finance
- Basis of Welfare Economics
- Micro Economics - Useful to Government
- Assumption of Micro Economic Analysis
- Meaning of Micro and Macro Economics
Analysis of Demand and Elasticity of Demand
Analysis of Supply
Types of Market and Price Determination Under Perfect Competition
Factors of Production
Introduction to Macro Economics
Determinants of Aggregates
- Introduction of Public Economics
- Features of Public Economics
- Meaning of Government Budget
- Objectives of Government Budget
- Features of Government Budget
- Public Economics - Budget (1 Year)(1 April to 31 March)
- Types of Budget
- Taxable Income
- Budgetary Accounting in India
- Budgetary Accounting - Consolidated , Contingency and Public Fund
- Components of Budget
- Factor Influencing Government Budget
Expenditure Method :
This method of measuring national income is also known as Outlay Method.
According to this method, the total expenditure incurred by the society, in a particular year, is added together. Income can be spent either on consumer goods or on capital goods. Thus, we can get national income by summing up all consumption expenditure and investment expenditure made by all individuals, firms as well as the government of a country during a year.
Thus, gross national product is found by adding up
|NI = C + I + G + (X–M) + (R–P)|
1) Private Final Consumption Expenditure (C) :
Private Final Consumption Expenditure (C) by households on non-durable goods, such as food, which are used immediately; expenditure on durable goods such as car, computer, television set, washing machine etc., which are generally used for a longer period of time; and expenditure on services like transport services, medical services, etc.
2) Gross Domestic Private Investment Expenditure (I) :
It refers to expenditure made by private businesses on replacement, renewals and new investment (I).
3) Government Final Consumption and Investment Expenditure (G) :
i) Government's final consumption expenditure refers to the expenditure incurred by government on various administrative services like, law and order, defence, education, health etc.
ii) Government's investment expenditure refers to the expenditure incurred by government, on creating infrastructural facilities like construction of roads, railways, bridges, dams, canals, which are used by the business sector for production of goods and services in any economy (G).
4) Net Foreign Investment/Net Exports :
It refers to the difference between exports and imports of a country during a period of one
5) Net Receipts (R-P) :
The difference between expenditure incurred by foreigners on domestic goods and services (R) and expenditure incurred abroad by residents on foreign goods and services (P).
1) Expenditure on all intermediate goods and services should be ignored, in order to avoid
2) Expenditure on the repurchase of second hand goods, should be ignored, as it is not
incurred on currently produced goods.
3) Expenditure on transfer payments like scholarships, old age pensions, unemployment allowance etc., should be ignored.
4) Expenditure on repurchase of financial assets such as shares, bonds, debentures etc.,
should not be included, as such transactions do not add to the flow of goods and services.
5) Indirect taxes should be deducted.
6) Expenditure on final goods and services should be included.
7) Subsidies should be included.
Out of these methods, the Output Method and Income Method are extensively used.
In advanced countries like U.S.A. and U.K. the Income Method is popular. Expenditure
Method is rarely used by any country because of its practical difficulties. In India, the Central Statistical Organization (CSO) adopts a combination of both output method and income method to estimate national income of India.
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