Question

Distinguish between domestic income and national income.

Answer 1

Sr. No.	Domestic Income	National Income
1.	Domestic income is the sum of all factor incomes generated by all producing units located within a country's domestic territory during an accounting period.	The sum total of factor incomes earned by normal residents of a country during an accounting year is referred to as national income.
2.	It is a territorial concept.	It is a national concept.
3.	Domestic Income = National Income − NFIA	National Income = Domestic Income + NFIA