Q.Give the meaning of National Income.

National income is the total money value of all final goods and services produced by a country's residents in a year.

In the TN HSC Class-12 Commerce syllabus, national income means the total money value of all final goods and services produced in a country during a year, counted so as to avoid double counting. Key points:

• It measures the flow of goods and services (and hence income) over a period of one year.
• Only final goods and services are counted; intermediate goods are excluded to avoid double counting.
• Technically, national income is measured as Net National Product at factor cost (NNP at FC) — the net value added by the normal residents of the country, including net factor income from abroad. …