National Income Accounting Quiz - CBSE Class 11 Economics

Free practice quiz: National Income Accounting (CBSE Class 11 Economics). 34 multiple-choice questions with answers and explanations. Play online, no sign-up needed.

This CBSE Class 11 Economics practice quiz has 34 multiple-choice questions on National Income Accounting. Try the 5 sample questions below (tap an option to check yourself), then play the full quiz online. No sign-up needed.

Sample questions

1. Which of the following methods is not used to calculate National Income?

   1. Production method
   2. Income method
   3. Expenditure method
   4. Tax method
   Show answer

   Answer: D. Tax method

2. How is GDP per capita calculated?

   1. GDP divided by total population
   2. Total earnings divided by households
   3. Sum of income sources divided by years
   4. National income divided by GDP
   Show answer

   Answer: A. GDP divided by total population

3. What is the primary difference between GDP and GNP?

   1. GDP includes foreign income, GNP does not
   2. GNP includes income earned by residents abroad, GDP does not
   3. GDP measures wealth, GNP measures production
   4. There is no difference
   Show answer

   Answer: B. GNP includes income earned by residents abroad, GDP does not

4. What is the difference between GDP at current prices and GDP at constant prices?

   1. Current prices are adjusted for inflation; constant prices are not
   2. Constant prices are adjusted for inflation; current prices are not
   3. Both measure the same concept
   4. Constant prices refer to nominal values
   Show answer

   Answer: B. Constant prices are adjusted for inflation; current prices are not

5. A significant increase in which of the following is most likely to indicate an economic boom?

   1. Exports
   2. Taxes
   3. Inflation rates
   4. Import duties
   Show answer

   Answer: A. Exports

More questions in this quiz

Answers and explanations are in the full quiz.

1. What does GDP stand for?
2. Which of the following is included in the calculation of GNP?
3. What does the term 'Net National Product' (NNP) signify?
4. What is the significance of measuring National Income?
5. Which of the following is a limitation of using GDP as an economic indicator?
6. What is a major flaw of GDP as a measure of societal well-being?
7. Which of the following would likely increase the GNP of a country?
8. What is National Income?
9. Which of the following is included in the calculation of National Income?
10. What method is used to calculate National Income through value added?
11. Which of the following represents the Expenditure method of calculating National Income?
12. Which factor is most likely to cause changes in National Income over time?
13. What does the term 'real GDP' refer to?
14. What is national income?
15. Which of the following is a method to calculate national income?
16. What is the primary focus of national income accounting?
17. Gross Domestic Product (GDP) represents which of the following?
18. Net National Product (NNP) is calculated by subtracting which of the following from Gross National Product (GNP)?
19. In which scenario would national income increase?
20. Which of the following items is not included in the calculation of national income?
21. Which of the following does NOT represent a component of GDP?
22. What does the term 'nominal GDP' refer to?
23. What is an economic indicator of a rising standard of living?
24. What is the primary limitation of GDP as a measure of national well-being?
25. What do we call the total value of all final goods and services produced in a country over a specific time period?
26. Which of the following items is included in the calculation of gross national income?
27. If the GDP of a country grows by 2% while the population grows by 5%, what will happen to the GDP per capita?
28. Which of the following is true about the relationship between GDP and quality of life?
29. What is the primary difference between real GDP and nominal GDP?

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