WBCS.LIVE practice question

Why are the intermediate goods NOT included in the National Income?

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

Answer options

  1. Intermediate goods decreases the income.
  2. Intermediate goods increases the income.
  3. For the prevention of double accounting.
  4. Intermediate goods are not reliable.

Correct answer and explanation

Correct answer: For the prevention of double accounting.