WBCS.LIVE practice question

Which of the following methods is used to calculate national income by summing up the total spending on final goods and services in an economy?

Solve this multiple-choice question and check the correct answer with its explanation below.

Answer options

  1. Value-added method
  2. Output method
  3. Expenditure method
  4. Income method

Correct answer and explanation

Correct answer: Expenditure method