Non-monetised consumption refers to goods and services produced and consumed by households directly without involving any monetary exchange (e.g., food grains produced by a farmer for self- consumption, services rendered free of charge). Estimating the value of such transactions is challenging, leading to underestimation of the true national income.
One of the problems in calculating National Income in India is
Asked in UKPSC CS Prelims 2016 · Topic: National Income & Gross Domestic Product (Methods of National Income Estimation: Income, Expenditure, and Production/Value Added Methods)
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Answer: D. Non-monetised consumption
More Economic Development questions
- The agency which estimates National Income of India is—
- In calculation of index of wholesale prices which one of the following sectors is assigned maximum weightage?
- National income indicators in India are estimated by:
- The National Income of India is estimated by :
- National Income in India is regularly estimated by:
- Assertion (A): Transfer earnings are not to be included in the estimation of National Income. Reason (R) : Transfer earnings are not payments for factor services.
- Which of the following is not a method of measurement of National Income ?
- Government expenditure on the following item do not contribute to national income:
