Introduction: A subject should have a name or a title that facilitates a clear and correct understanding of its contents. In a subject like Economics,there are many books available with titles such as ‘Introductory Economics’, ‘Economics:An Introduction’, ‘Basic Economics’, ‘Elements of Economics’, ‘Elementary Economics’,‘Fundamentals of Economics’ etc. But these books have the same contents, though […]
Tag: what is economics
How Effective demand increase the level of Employment – Economic Studymaterial
Effective Demand The starting point of Keynes theory of employment and income is the principle of effective demand. Effective demand denotes money actually spent by the people on products of industry. The money which entrepreneurs receive is paid in the form of rent, wages, interest and profit. Therefore effective demand equals national income. An increase […]
Methods of measuring national income – Labour Income, Capital income – StudyMaterial
Methods of Measuring National Income All goods and services produced in the country must be counted and converted against money value during a year. Thus, whatever is produced is either used for consumption or for saving. Thus, national output can be computed at any of three levels, viz., production, income and expenditure. Accordingly, there are […]
What is National income – understanding GDP, GNP National Income
What is national income : National Income provides a comprehensive measure of the economic activities of a nation. It denotes the country’s purchasing power. The growth of an economy is measured by the rate at which its real national income grows over time. National income thus serves as an instrument of economic planning.Further, national income […]