Which of the following is NOT a feature of National Income?

The correct answer is It is included only in intermediate goods.

Key Points:

• The following are the main characteristics of national income:
  • Macroeconomic concepts include national income.
  • Taking into account the monetary value of goods and services is national income.
  • An extended period of time is used to measure national income.
  • Considerations for national income include the net total values of products and services.
  • National income solely takes into account the value of final items to prevent double counting.
• When calculating national income, the value of intermediate items is not taken into account.
• Net factor income from abroad is included in national income (NFIA).

Additional Information:

• In the simplest terms, national income refers to a country's riches.
• The value of the commodities and services generated in an economy serves as a gauge of its prosperity.
• It represents the overall monetary worth of the commodities and services that a country produces in the course of a fiscal year.
• Rent, wages, profits, and interests are a few examples of payments that can be paid to different kinds of resources.
• The idea of national income is under the ambit of macroeconomics.