NATIONAL INCOME MEASUREMENT

Question 1

Net National Product (NNP)

Answer 1

GNP-Depreciation

Question 2

Net Domestic Price (NDP)

Answer 2

GDP-Depreciation

Question 3

Personal Income (PI)

Answer 3

NI-Corporate(private and public) retained earnings

Question 4

Disposable Personal Income

Answer 4

PI-(Direct Taxes+SSS+Pag Ibig contributions)

INCLUDE UNION CHECK OFF

Question 5

Personal Savings (PS)

Answer 5

DPI-Personal Consumption Expenditures (C)

Question 6

Per capita GNP

Answer 6

=Real GNP/Population

Question 7

GNP Deflator

Answer 7

=nominal GNP/Real GNP

Question 8

Real GNP

Answer 8

nominal GNP/GNP deflator

Question 9

Final Expenditure Approach

Answer 9

C (Personal Consumption Expenditures) +
I (Gross private and public domestic investment) +
G (Government expenditures +
(X-M)

Question 10

Value Added Approach

Answer 10

AFF ( Agricultural, Fisheries and forestries Sector) + IS (Industry Sector) + SS (Service Sector)

Question 11

National Income 1

Answer 11

FI (of persons) + CI (private corporate) + GI (government)

Question 12

Factor Income Approach

Answer 12

NI + Depreciation + indirect taxes (IBT) - subsidies

Question 13

GNP

Answer 13

GDP + NFIA

Question 14

C

Answer 14

Personal Consumption of Goods

Consumer Non-durable Consumer Durable Consumer Services

Question 15

I

Answer 15

Gross private and public domestic investment

1. Fixed Capital
   - Construction
   - Durable capital equipment
   - breeding stock and orchards
   - depreciation (mostly add to FI approach instead)
2. Changes in Inventories

Question 16

Net Investment

Answer 16

Gross investment - depreciation

Question 17

G

Answer 17

Government spending on goods and services

Question 18

(X-M)

Answer 18

X - exports M - Imports

Question 19

X>M

Answer 19

positive impact

Question 20

X<M

Answer 20

negative impact

Question 21

X=M=0

Answer 21

stagnant

Question 22

AFF

Answer 22

Agriculture, Fisheries, and Forestry sector

Question 23

SS

Answer 23

Service Sector

• Transportation, communication, and storage
• trade
• finance
• ownership of dwellings and real estate
• private service
• government service

Question 24

IS

Answer 24

Industry Sector
- Mining
- quarrying
- manufacturing
- construction
- electric gas and water

Question 25

FI

Answer 25

Factor Income of Persons
- wages/salaries
-rental income
- interest income
- profit

Question 26

CI

Answer 26

Private Corporate Income

• dividends
• retained earnings
• corporate taxes

Question 27

GI

Answer 27

Propriety income of the government

Question 28

National Income 2

Answer 28

NDP + IBT - Subsidies