What is attainable combination in Economics?
Attainable combination, is a combination of production which is feasible. What it assumes is, that by producing one product, the ability to produce another falls. In other words, there exist an opportunity cost on production. Lets assume that you have 500 work hours to distribute, this could be oil, energy, whatever that limits production of another type of product, and that you can either produce cars or nails. You need 10 hours to build a car, and can create 10k nails in an hour. An attainable combination would thus be any possible combination of the two. This could be 50 cars and 0 nails or 5.000k nails and 0 cars. It cannot be 51 cars and 0 nails, nor can it be 25 cars and 3.000 nails, as this combination is not attainable.
How is national income calculated in India?
Income can be measured by Gross National Product (GNP), Gross Domestic Product (GDP), Gross National Income (GNI), Net National Product (NNP) and Net National Income (NNI).In India the Central Statistical Organization has been formulating national income.However some economists have felt that GNP has a measure of national income has limitation, since they exclude poverty, literacy, public health, gender equity and other measures of human prosperity.Instead they formulated other measures of welfare like Human Development Index (HDI)Calculating National IncomeThere are various methods for calculating the national income such as production method, income method, expenditure method etc.Production MethodThe production method gives us national income or national product based on the final value of the produce and the origin of the produce in terms of the industry.All producing units are classified sector wise.Primary sector is divided into agriculture, fisheries, animal husbandry.Secondary sector consists of manufacturing.Tertiary sector is divided into trade, transport, communication, banking, insurance etc.Income Method: Different factors of production are paid for their productive services rendered to an organization. The various incomes that includes in these methods are wages, income of self employed, interest, profit, dividend, rents, and surplus of public sector and net flow of income from abroad.Expenditure Method:The various sectors – the household sector, the government sector, the business sector, either spend their income on consumer goods and services or they save a part of their income. These can be categorized as private consumption expenditure, private investment, public consumption, public investment etc.Difficulties in Calculation of National IncomeIn India there are various difficulties in calculating the national incomes .The most severe one is the finding of reliable data. Most of the time, it is based on assumptions. Soon after independence the National Income Committee was formed to collect data and estimate National Income. The two major problems which remain in the calculation of National Income are:Most of the data is not from the current year.Even if current data are available then values are under reported.hope I helped :)
Can some one check my answers? economic?
1.Skilled workers emigrating out of the country would cause a movement away from the PPC. True False 2.The negative slope of the production possibilities curve indicates that in order to have more of one good, we have to give up an increasingly larger amount of another good. True False 3.Combinations that fall on the inside of a production possibilities curve represent inefficiency. True False 4.Match each of the following. a baby boom causes an increase in the production of diapers and formula Read Answer Items for Question 4 a. move away from PPC b. move along c. move toward PPC d. Shift out e. Shift in 1-An increase in government spending reduces unemployment. Read Answer Items for Question 4 2-Unemployment rises due to a slow down in the economy. Read Answer Items for Question 4 3-An earthquake destroys millions of dollars worth of factories. Read Answer Items for Question 4 4-New research increases the percent of usable fuel from crude oil 6.What factors will move you along the production possibilities curve? (Consider a PPC that compares cars and planes.)(can choose more than one) a. Shifting production from cars to planes. b. Shifting production from planes to cars. c. Increasing production of both cars and planes. d. Decreasing production of both cars and planes