Question

What is ‘National income’?

Answer 1

In common, national income means the total value of goods and services produced annually in a country. In other words, the total amount of income accruing to a country from economic activities in a year’s time is known as national income. It includes payments made to all resources in the form of rent, wages, interest and profits. Thus, national income is the aggregate monetary value of all final goods and services produced in the economy in a year.