Q. own account production of goods is included in national income because: goods are tangible their valuation is possible goods are more productive than services None of these Answer: their valuation is possible

Q. Household inventory is: not included in national income a stock concept both 1 and 2 None of these Answer: both 1 and 2

Q. The impact of an externality is: Positive Negative either positive or negative neither positive nor negative Answer: either positive or negative

Q. GDP Deflator = Real income/Nominal income * 100 Nominal Income/Real Income * 100 Real Income/Population * 100 None of these Answer: Nominal Income/Real Income * 100

Q. Which of the following makes GDP an inappropriate index of welfare? Non-monetary trAnswer:actions Externalities Composition and distribution of GDP All of these Answer: All of these

Q. National income refers to: factor incomes only income of only normal residents of the country the sum total of domestic income and net factor income from abroad all of these Answer: all of these

Q. National income (NNP at FC) is equal to: GNP at FC + depreciation GNP at FC – depreciation NNP at mp – Net indirect taxes both 2) and 3) Answer: both 2) and 3)

Q. GNP at market price is measured as: GDP at market price – Depreciation GDP at market price + Net factor income from abroad GNP at market price + subsidies NDP at factor cost + Net factor income from abroad Answer: GDP at market price + Net factor income from abroad

Q. The difference between national income and domestic income is that of: net indirect taxes net factor income from abroad consumption of fixed capital both a) and b) Answer: net factor income from abroad

Q. Which of the following is an example of normal residents of India? Foreign worker working in WHO located in India The german working as a director in IMF office located in India Ambassador in India from rest of the world Ambassador of India in rest of the world Answer: Ambassador of India in rest