National Income TERMs

1. The excess of imports over exports is called trade deficit.
2. The excess of exports over imports is called trade surplus.
3.NNP FC is the sum total of factor income earned by normal residents of a country during the accounting year
4. GDP =GNP – NIFA
5. GNP = GDP + NIFA
6. NNP = GNP – Depreciation
7. GNP = NNP + Depreciation
8. NDP = NNP – NIFA
9. NNP = NDP + NIFA
10. NDP = GDP – Depreciation
11. GDP = NDP + Deprecation
12. NNP = NDPFC + X-M
13. GNPfc = GNPmp – Net Indirect Taxes
14. NNPmp = GNPmp– Depreciation
15. GDPmp = GNPmp – NIFA
16. NDPmp = NNPmp – NIFA
17. NNPfc = NNPMP – Net Indirect Taxes
18. GDPFC = GDPmp – Net Indirect Taxes
NDPmp = GDPmp– Depreciation
19. GDPfc = GNPfc– NIFA
20. NNPfc= GNPfc – Depreciation
21. NDPfc = NDPmp– Net Indirect Taxes
22. NDPfc = NNPfc – NIFA
23. NDPfc = GDPfc– Depreciation
24. NNPfc= GNPmp – Depreciation – Net indirect Taxes
25. GNPfc = NNPmp + Depreciation – Net Indirect Taxes
26. GNPfc= NNPmp– Net Indirect Taxes + Depreciation
27. NDPmp = GDP – Capital Consumption
28. NDPfc = NDP – Indirect Taxes + subsidies
29. NDPfc = GDPmp – Depreciation _ Net Indirect Taxes
30. NDPmp = GNPmp – NIFA – Depreciation
31. GDPfc= GNDmp – NIFA – Net Indirect Taxes
32. NDPfc= NNPmp – NIFA – Net Indirect Taxes
33. NDPfc = GNPfc – NIFA – Depreciation
34. NNPmp= NDPfc + NIFA + Net Indirect Taxes
35. GNPmp = NNPfc + Net Indirect Taxes + Depreciation
36. GNPmp= NNPfc + Depreciation + Net indirect Taxes
37. GNPfc= NDPfc+ NIFA + Depreciation
38. GNPmp= GDPfc + NIFA + Net Indirect Taxes
39. GDPfc = NDPmp – Net Indirect Taxes + Depreciation
40. GNPmp = NDPmp + NIFA + Depreciation
41. GDPmp = NDPfc + Depreciation + Net Indirect Taxes
42. GNPfc = GNPmp – Net Indirect Taxes + subsidies
43. PDI = NI (All Taxes+ Business savings) + Transfer Payments
44. PDI = PI – Direct Taxes on Persons
45. DPI = PI- Personal Taxes
46. PI = NI – Corporate Income Taxes –undistributed Corporate Profits – Social Security Contributions + Transfer Payments
47. NI = NNP – Indirect Taxes + Subsides
48. Real GNP=Nominal GNP/ GNP Deflator
49. Per Capita Real Income=Real National Income/Size of the Population
50. NDPmp = GNPmp – NIFA –Depreication
51. GNPmp= NDPfc+ Net Indirect Taxes + NIFA + Depreciation
52. NDPfc = GNPmp – Depreciation – NIFA – Net Indirect Taxes
53. DPI=PI-Personal taxes
54. GDPfc = NDPfc + depreciation
55. GDP=C+I+G+(X-M)
56. GDP=GNP - Nx (Net foreign factor income)
57. GNP=NNP+ Depreciation
58. NDPfc= NDPmp – Net indirect taxes (indirect tax – subsidies)
59. NDPmp =GDPmp – depreciation
60. NDP= C+(In)+G+(X-M)
61. NNPfc = GDPmp - depreciation + Net factor income from abroad – Net indirect taxes
62. NNPfc= NDPfc + Net factor income from abroad.
63. NNPmp = GNPmp – depreciation (Net National Product at market prices is the net value of final goods and services evaluated at market prices in the course of one year in a country)
64. NNP=GDP-Depreciation
65. NNP=NI-Indirect taxes
66. In=Ig-Depreciation (Net Investment is equal to Gross Investment minus depreciation). Net investment is actual value in market.
67. Ig=In+ Depreciation (Gross Investment is equal to Net investment plus depreciation). Total investment in a machine)
68. NX=X-M (Net Export equal to export minus imports)
69. Two sector economy consists of (also known as simple economy): households + firms ((Y=E=0)
70. Three sector economy consists of (also known as closed economy): households + firms + government
71. Four sector economy consists of (also known as open economy): household + firms + government + external sector (export and import).
72. Closed economy is no exports or imports
73. Always NDP<GDP, Depreciation > Zero (O)
74. Net earnings = revenue – expenses.
75. Trade Balance=Export – Import
76. Trade Balance may be positive
(Export>Import) or negative (Export<Import)
77. Indirect tax = Net Indirect tax + Subsidy
78. Net Indirect Tax = Indirect Tax – subsidy
79. NFIA=Net Factor Income from Abroad
80. NFIA=Income received from abroad – income paid off abroad