National Income Accounting

[Anjali]

And gross savings = Private savings + govt savings

[Anjali]

And ron what about that random variable ques ? What exactly is it ? All options seem so close

[Ashima]

The random variable one is c as per me.

[Ashima]

Anjali could you please clarify this for me:

GDP = NI + Net Income from Abroad +Indirect Taxes+ Depreciation


or

GDP= NI+ Net Income from Abroad - Indirect Taxes-  Depreciation


I s there a minus or plus wuith the last two terms?

[The Villain]

I think its a
A Rv is a variable whose numerical value is determined by outcome of expt.
And thanx for that NIA ans .Cheers

[Anjali]

Your expressions seem a little confusing to me . Ron what's your take ?

[Ashima]

Okay how do I calculate GDP from National Income?

[Anjali]

Now even I think that its b ! Ron are you sure on this ?

[Anjali]

Ashima keep it simple
GNP= GDP+ NFIA

[Ashima]

GDP 4000
Transfer Payments 500
Corporate Inc. Taxes 50
Social Sec. Contributions 200
Indirect business Taxes 210
Personal Taxes 250
Undistributed Corp. Profit 25
Depreciation 500
Net Income Earned Abroad 0

Say if this is the question, how do i get NI?

[Anjali]

This is income approach . Lol ! I have left this one !

[Granpa Simpson]

Here GDP=4000, Net Income from Abroad=0, GNP=4000, GNP-Dep=NNP=4000-500=3500, NI=NNP-Indirect Taxes=3500-210=3290...do u have the answers..??if u have plz do check and let me knw..!!!!

[Ashima]

Anjali, I am still confused with q1 3rd part.

I got savings as 3000.

Now you are saying to use the equation s=i+ca ; 3000= i-500
                                                                        i= 3500 is it?

[Anjali]

No no
Just 3000 ( MPS * Y ) - this will give you gross savings ( Sp+Sg )

[Anjali]

I =3200
You forgot to take government savings into account = -300

[Ashima]

Okay thanks!

For the 3rd question is the answer 10?

[Ashima]

Yes Subhayu! Correct you are!

[Anjali]

Ashima any final answer for ques 25 and 26 ! According to Arushi , 25 is option D . Let me know your view.

[Anjali]

@Subhayu , have you assumed , here GDP to be at Market Price ? You have deducted indirect taxes from NNP , so that suggests that the NNP was at MP . Is that so ?
Ashima , not done 3 rd
Please see if you can solve my perfect competition doubt about consumer surplus

[Anjali]

Subhayu what is your answer for random variable ques ?
And Ashima , what is statistical discrepancy ?