passwella.
Menu

JAMB Economics 1993 Question 40

Question 40

National Income

According to the income approach to national income measurement, the national income of a country is equal to

  1. A.the value of all output produced in the country over the relevant period of time at market prices
  2. B.the value of output at factor cost
  3. C.the value added of production
  4. D.C + I + G
Show the answer and explanation

Answer: B (the value of output at factor cost)

Explanation

The income approach adds the incomes paid to the factors of production, which equals the value of output at factor cost.