Q100. How is Net National Product calculated?
[SSC CGL (21 July 2023, Shift 2)]
A. GNP multiplied by depreciation
B. GNP plus income of foreigners
C. Equal to GNP
D. GNP less depreciation
Answer: D. GNP less depreciation
Explanation: Depreciation is consumption of fixed capital, reflecting the wear and obsolescence of productive assets. Subtracting this allowance from gross national product gives the net national product available after maintaining the capital stock.
Q99. Which of the following represent flow variables: (i) rice production, (ii) cloth imports, (iii) change in capital?
[SSC CGL (21 July 2023, Shift 1)]
A. None
B. Only iii
C. All three
D. Only i and ii
Answer: C. All three
Explanation: Each item is measured over a stated period rather than at a particular instant. Rice output, imports and the change in capital stock are flows; the existing amount of capital itself is a stock.
Q98. Adding depreciation to net investment gives which economic aggregate?
[SSC CGL (19 July 2023, Shift 1)]
A. GDP
B. Personal income
C. Gross investment
D. Private investment
Answer: C. Gross investment
Explanation: Net investment represents additions to the productive capital stock after replacing worn-out assets. Adding consumption of fixed capital recovers total gross investment undertaken during the period.
Q97. Which formula defines the GDP deflator?
[SSC CGL (18 July 2023, Shift 3)]
A. Nominal GDP times real GDP times 100
B. Nominal GDP plus real GDP times 100
C. Nominal GDP minus real GDP times 100
D. Nominal GDP divided by real GDP times 100
Answer: D. Nominal GDP divided by real GDP times 100
Explanation: The GDP deflator is the ratio of nominal output to real output, multiplied by one hundred. It provides an implicit price index covering final goods and services included in domestic production.
Q96. Which listed item is NOT a payment to a factor of production?
[SSC CGL (26 July 2023, Shift 4)]
A. Interest
B. Wages
C. Rent
D. Pension
Answer: D. Pension
Explanation: Wages reward labour, rent rewards land and interest rewards capital. A pension is generally treated as a transfer to a beneficiary in this examination context rather than payment for current factor services.
Q95. To which broad sector does agriculture belong?
[SSC CGL (20 July 2023, Shift 2)]
A. Tertiary
B. Secondary
C. Primary
D. Quaternary
Answer: C. Primary
Explanation: Agriculture directly uses natural resources to produce crops and livestock. It is a primary-sector activity alongside forestry, fishing and extraction, rather than manufacturing or market-service production.
Q94. Which income is not included in domestic income?
[SSC CGL (18 July 2023, Shift 4)]
A. Income earned by domestic residents in domestic production
B. Income non-residents earn outside the country
C. Domestic wages
D. Profits of domestic enterprises
Answer: B. Income non-residents earn outside the country
Explanation: Domestic income measures value added created inside national territory by both resident and foreign-owned producers. Income earned abroad by a non-resident does not belong to domestic production in the country.
Q93. Which national-income estimation method totals factor earnings of people and businesses?
[SSC MTS (8 September 2023, Shift 1)]
A. Value-added method
B. Output method
C. Income method
D. Expenditure method
Answer: C. Income method
Explanation: The income method aggregates remuneration paid to production factors, including wages, rents, interest and operating surplus. Transfer receipts are excluded because they are not payments for production in the reference period.
Q92. Under the FRBM terminology, GDP measured at constant prices is called what?
[SSC CGL Tier II AAO (27 October 2023, Shift 2)]
A. Real gross domestic product
B. Notional gross domestic product
C. Secondary gross domestic product
D. Residual gross domestic product
Answer: A. Real gross domestic product
Explanation: Real GDP measures output using prices from a fixed reference period, enabling changes in production volume to be studied separately from inflation. Nominal GDP, in contrast, values each year’s production at that year’s prevailing prices.
Q91. Given national incomes of ₹329.200 crore, ₹389.500 crore and ₹434.500 crore in 1987–88, 1988–89 and 1989–90, find the three-year average.
[SSC MTS (13 September 2023, Shift 3)]
A. ₹392.4 crore
B. ₹384.4 crore
C. ₹398.2 crore
D. ₹396.2 crore
Answer: B. ₹384.4 crore
Explanation: Add the three national-income values: ₹329.200 + ₹389.500 + ₹434.500 = ₹1,153.200 crore. Dividing by three years produces ₹384.400 crore. An arithmetic average gives equal weight to each observation in this data-interpretation PYQ.
