Gross domestic product at market price is equal to:
Gross domestic product at market price is equal to:
(a) Compensation of employees + Operating Surplus + Mixed Income of self employed
(b) Compensation of employees + Operating Surplus + Mixed Income of self employed + consumption of fixed capital + net indirect taxes
(c) Compensation of employees + net current transfers from abroad
(d) Compensation of employees + net factor income from abroad
Anurag Pathak Changed status to publish December 13, 2023
Ans – (b)
Explanation:-
the following formula is justified from the Income method
NDP at FC (Domestic Income) = Compensation of employees + Operating Surplus + Mixed Income of self employed
GDP at MP derived from NDP at FC after adding depreciation and net indirect taxes.
GDP at MP = NDP at FC + Consumption of fixed Capital + Net indirect taxes
Anurag Pathak Changed status to publish December 13, 2023
