National Income and Poverty Measurement

In early stages of development, primary sector or agriculture forms the largest share of its GDP and tertiary sector the least. In the second stage of development, share of secondary sector or industries in the GDP increases, while that of agriculture marginally declines. In the final stage, share of both the tertiary sector or services and the secondary sector increase, while that of agriculture declines sharply.

The Multidimensional Poverty Index (MPI) was developed in 2010 by Oxford Poverty and Human Development Initiative and the United Nations Development Programme, and uses different factors to determine poverty beyond income-based lists. It replaced the previous Human Poverty Index. The index uses the same three dimensions as the Human Development Index: Health, education and standard of living. These are measured using ten indicators. Dimension                                                         Indicators Health                                                               Child Mortality             Nutrition Education                                                          Years of school             Children enrolled Living Standards                                                Cooking fuel             Toilet             Water             Electricity             Floor             Assets

Each dimension and each indicator within a dimension are equally weighted.

Yes, it is the right answer.

This is the correct answer as all the statements are correct. Productive population contributes to the national income. Children and aged are included in dependent population. Productive population supports the dependent population.

Per Capita Real Income is nothing but NNP at factor cost. It means national income is sum total of all factor incomes adjusted for increase in prices.

WDR or World Development Report is published by World Bank annually.

National Income is the money value of all final goods and services produced in an economy during a financial year. At the level of an economy, value of final goods and services is equal to the total income of all factors of production viz. labour, capital, land and entrepreneurship.

Per capita income (average income per person) is the most direct indicator of changes in living standards. While GDP measures total economic output, it doesn't account for population growth or distribution. Per capita income reflects what the average person can afford, making it the best standard of living indicator.

This is the correct answer as the domestic chores of a housewife are not included in National Income.

All three statements about Purchasing Power Parity are correct. PPP theory states that exchange rates equalize purchasing power in the long run (1). PPP rates are standard for comparing living standards across countries (2). PPP is grounded in the law of one price, which posits that identical goods should have a single price in efficient markets (3). The question asks which statement is not true, but the correct answer is that all statements are true.

GDP (Gross Domestic Product) measures total output produced within a country, while NDP (Net Domestic Product) subtracts the depreciation of capital goods that occurs during production. This depreciation is called 'Consumption of Fixed Capital' - it represents the wear and tear, obsolescence, or destruction of capital assets (machinery, buildings, infrastructure) used in the production process. The difference GDP - NDP = Consumption of Fixed Capital.

The Misery Index is an economic indicator created by Arthur Okun, calculated simply by adding together the rate of inflation and the rate of unemployment. Higher values indicate a greater level of economic distress for the average citizen.

Net National Product (NNP) = Gross National Product (GNP) minus depreciation (capital consumption allowance). Depreciation represents the wear and tear on capital assets during production. Foreign aid, taxes, and indirect taxes are not subtracted to get NNP.

This is the correct answer. Poverty levels in China have come down from 85 percent in 1981 to 14 percent in 2008 to 6 percent in 2011. This has happened as a result of rapid economic growth and massive investments in human resource development.

This is the correct answer as Russia was a socialist country as it was considered that officially, it was non-existent earlier, but it has now resurfaced.