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Gross Budgetary Support
The government’s support to the Central plan is called Gross Budgetary Support.
See AlsoWhat Is the U.S. GDP Growth Rate?GDP and spending - Nominal GDP forecast - OECD Data[Solved] Which of the following is the most important element of a stWhy is consumption important to economic activity?It is a part of the processIt indicates the standard of living of peopleConsumption is inevitableNone of the aboveRead More
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Human Development Index
The Human Development Index (HDI) is a statistical tool used to measure a country's overall achievement in its social and economic dimensions.
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Definition: GDP is the final value of the goods and services produced within the geographic boundaries of a country during a specified period of time, normally a year. GDP growth rate is an important indicator of the economic performance of a country.
Description: It can be measured by three methods, namely,
1. Output Method: This measures the monetary or market value of all the goods and services produced within the borders of the country. In order to avoid a distorted measure of GDP due to price level changes, GDP at constant prices o real GDP is computed. GDP (as per output method) = Real GDP (GDP at constant prices) – Taxes + Subsidies.
2. Expenditure Method: This measures the total expenditure incurred by all entities on goods and services within the domestic boundaries of a country. GDP (as per expenditure method) = C + I + G + (X-IM) C: Consumption expenditure, I: Investment expenditure, G: Government spending and (X-IM): Exports minus imports, that is, net exports.
3. Income Method: It measures the total income earned by the factors of production, that is, labour and capital within the domestic boundaries of a country. GDP (as per income method) = GDP at factor cost + Taxes – Subsidies.
In India, contributions to GDP are mainly divided into 3 broad sectors – agriculture and allied services, industry and service sector. In India, GDP is measured as market prices and the base year for computation is 2011-12. GDP at market prices = GDP at factor cost + Indirect Taxes – Subsidies
Also See: Gross Budgetary Support
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- GDPGROSS DOMESTIC PRODUCTGROSS BUDGETARY SUPPORTOUTPUT METHOD
- EXPENDITURE METHODINCOME METHOD
- PREV DEFINITION
Gross Budgetary Support
The government’s support to the Central plan is called Gross Budgetary Support.
Read More
- NEXT DEFINITION
Human Development Index
The Human Development Index (HDI) is a statistical tool used to measure a country's overall achievement in its social and economic dimensions.
Read More
Related Definitions
- Annual Financial StatementArticle 112 of the Constitution requires the government to present to Parliament a statement of estimated receipts and expenditure in respect of every financial year, from April 1 to March 31. This statement is called the annual financial statement. Description: It is divided into three parts, Consolidated Fund, Contingency Fund and Public Account. For each of these funds, the government has Appropriation BillAppropriation Bill gives power to the government to withdraw funds from the Consolidated Fund of India for meeting the expenditure during the financial year. Description: Post the discussions on Budget proposals and the Voting on Demand for Grants, the government introduces the Appropriation Bill in the Lok Sabha. It is intended to give authority to the government to withdraw from the ConsoliBearish Trend: 'Bearish Trend' in financial markets can be defined as a downward trend in the prices of an industry's stocks or the overall fall in broad market indices.Description: Bearish trend is characterized by heavy investor pessimism about the declining market prices scenario. A fall in the prices of about 20% is identified as a bearish trend.Also see: Bullish Trend, Squaring Off, Short SellBudgetary DeficitBudgetary deficit is the difference between all receipts and expenses in both revenue and capital account of the government.Description: Budgetary deficit is the sum of revenue account deficit and capital account deficit. If revenue expenses of the government exceed revenue receipts, it results in revenue account deficit. Similarly, if the capital disbursem*nts of the government exceed capital
- Bullish Trend: A 'trend' in financial markets can be defined as a direction in which the market moves. 'Bullish Trend' is an upward trend in the prices of an industry's stocks or the overall rise in broad market indices, characterized by high investor confidence.Description: A bullish trend for a certain period of time indicates recovery of an economy.Also See: Bearish Trend, Squaring Off, Long, InflatCapital Account: Capital account can be regarded as one of the primary components of the balance of payments of a nation. It gives a summary of the capital expenditure and income for a country.Description: The capital expenditure and income is tracked by way of funds in the form of investments and loans flowing in and out of an economy. This account comprises foreign direct investments, portfolio investmentsCapital BudgetCapital Budget consists of capital receipts and payments. It also incorporates transactions in the Public Account. Description: Capital receipts are loans raised by the government from the public (which are called market loans), borrowings by the government from the Reserve Bank and other parties through sale of treasury bills, loans received from foreign bodies and governments, and recoverieCash Reserve Ratio: Cash Reserve Ratio (CRR) is a specified minimum fraction of the total deposits of customers, which commercial banks have to hold as reserves either in cash or as deposits with the central bank. CRR is set according to the guidelines of the central bank of a country.Description: The amount specified as the CRR is held in cash and cash equivalents, is stored in bank vaults or parked with the R
- Central Plan: Central or Annual Plans are essentially Five Year Plans broken down into annual instalments. Description: Through Central Plans, the government achieves the objectives of the Five Year Plans. The Central Plan's funding is split almost evenly between government support (from the budget) and internal and extra budgetary resources of public enterprises. The government’s support to the Central PConsolidated FundConsolidated Fund of India is the most important of all government accounts. Revenues received by the government and expenses made by it, excluding the exceptional items, are part of the Consolidated Fund.Description: This fund was constituted under Article 266 (1) of the Constitution of India. All revenues received by the government by way of direct taxes and indirect taxes, money borrowed and
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