If net foreign factor income is zero and there are no statistical discrepancies, the sum of national income and the consumption of ﬁxed capital equals
A) disposable income.
B) personal income.
C) net domestic product.
D) gross domestic product.

Question

Quizplus · Accepted Answer

The sum of national income and the consumption of fixed capital is equivalent to Gross Domestic Product (GDP). Net foreign factor income and statistical discrepancies are not included in the calculation of GDP. Therefore, the correct choice is D.

If Net Foreign Factor Income Is Zero and There Are