Question

Which statement gives the definition of Private Income according to C.S.O.?

Options

• Private income is the total of factor incomes from all sources and current transfers from the Government and rest of the world accruing to private sector.

• Private income is the income of public undertakings after deducting social securities.

• Private income is the total of Government property & entrepreneurial income accruing to the government sector.

• Private income is NNP at FC less all current transfers from the Government and rest of the world.

Answer 1

C.S.O. defines Private Income as factor incomes from all sources plus current transfers from the Government and rest of the world. These incomes must accrue to the private sector.