4.1 National income statistics

In this chapter you will learn how to:

• define the meaning of national income
• explain the purpose of national income statistics
• explain the difference between gross domestic product (GDP), gross national income (GNI) and net national income (NNI)
• analyse the three methods of measuring GDP
• explain how measures of national income are adjusted from market prices to basic prices
• explain how measures of national income are adjusted from gross values to net values.