Month: November 2021

Relationship between Concepts of National Income at Market Price and Factor Cost

After discussing several key concepts of national income at market price as well as at factor cost, in this article, we attempt to establish the relationship between concepts of national income at market price and factor cost. As we know that various concepts of national income can be measured in terms of market price as …

Relationship between Concepts of National Income at Market Price and Factor Cost Read More »

Value Maximization Model

Introduction Value maximization theory was developed as an alternative to the profit maximization theory due to weaknesses or limitations of profit maximization theory. This theory is also known as wealth maximization theory. According to this theory, value or wealth maximization is the long-run objective of the firm that guides resource allocation decisions of the firm …

Value Maximization Model Read More »

Meaning and Features of National Income

Meaning of National Income In this article, we explain the meaning and features of national income. You will know what national income actually is and what it measures. Meaning and Features of National Income The human resources of a nation combinedly working with capital and natural resources produce annually various quantities of goods and services. …

Meaning and Features of National Income Read More »

Basic Terminologies of National Income

The key terminologies/(basic terminologies of National Income) related to national income are briefly explained below. Domestic Territory of a Country United Nations states that economic or domestic territory is the geographical territory, governed by a government within which, individuals, goods, and capital distribute freely. It includes the following geographic or electoral boundaries: Territorial waters of …

Basic Terminologies of National Income Read More »

Don`t copy text!