Question : Which of these is not the correctly stated component of the expenditure method of measuring national income?
Option 1: Final investment expenditure by firms
Option 2: Final government expenditure
Option 3: Export plus import expenditure
Option 4: Final consumption expenditure by households
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Correct Answer: Export plus import expenditure
Solution : The correct option is Export plus import expenditure.
National income refers to the total income earned by the residents of a country within a specific period, typically a year. It is a crucial economic statistic that shows how well a country is doing economically overall.
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