1. Presented by Md. Zeeshan Alam
MBA 1ST semester
Excel Business Academy
Bangalore

2. According to Marshall National Income defined as.“ The
labour and capital of a country, acting upon its natural
resources, produce annually a certain net aggregate of
commodities, material and immaterial, including services
of all kinds.

3.  NATIONAL INCOME MEAN’s The concept of national
income occupies an important place in economic theory.
National Income is the flow of goods and services of a
nation during a year National income is the aggregate
money value of all final goods and services in a country
during a year.

4. Concepts of National Income includes:
 Gross National Product (GNP).
 Net National Product (NNP).
 Gross Domestic Product (GDP).
 Net Domestic Product (NDP).

5. Gross National Product (GDP) is defined as the sum of the gross
domestic product and net factors income from abroad.
GNP= C+I+G+(X-M) +(R-P)
Where ,
C= Total consumption
I= Total Investment
G= Govt Expenditure
X= Exports
M=Imports
R= Receipts
P= Payments

6. 2. Net National Product (NNP). :
Net National Product (NNP) is the net production of final
goods and services in a country during the year. It is GNP-
depreciation. NNP also referred to as National Income at
Market Prices.
NNP= GNP-D

7. 3. Gross Domestic Product (GDP):
 Gross Domestic Product (GDP) is the money value of all
final goods and services produced in the domestic territory
of a country during a year.
GDP= C + I + G (X-M)

8. 4. Net Domestic Product (NDP):
When depreciation is subtracted from GDP, we get net
domestic product.
NDP=GDP-D