Definition of National Income and Related Aggregates
National Income and Related Aggregates refer to the measurement of the economic performance of a country. It includes the total value of goods and services produced within a country's borders over a specific period, typically a year.

Components of National Income
- Gross Domestic Product (GDP): The total value of all final goods and services produced within a country's borders in a specific time period.
- Gross National Product (GNP): The total value of all final goods and services produced by the residents of a country, both domestically and abroad.
- Net National Product (NNP): GNP minus depreciation.
- National Income: NNP minus indirect taxes.

Importance of National Income and Related Aggregates
- Measure of economic performance: National Income helps in assessing the economic growth and development of a country.
- Policy formulation: Governments use national income data to formulate economic policies and make informed decisions.
- International comparisons: National Income allows for comparisons of economic performance between countries.
- Income distribution: It helps in understanding the distribution of income among different sections of society.

Calculation of National Income
National Income can be calculated using various methods such as the income approach, expenditure approach, and production approach. These methods help in determining the total value of goods and services produced within a country.
In conclusion, National Income and Related Aggregates play a crucial role in understanding the economic health of a country, formulating policies, and making informed decisions for sustainable growth and development.

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