BM (P7)

In determining the capabilities of an economy, the national income level is used as a basis.

Is a measure of the total flow of goods and services produced by the economy over a particular time period.

Refers to the difference between the value of goods produced and the cost of materials and supplies used in producing them.

This is the difference between the income earned by citizens who own resources used in the production process abroad and the income of foreigners who own resources used in the production process here in the Philippines.

income from abroad.

Refers to the current price of goods and services produced in the economy.

Defined as a measure of the money value of the total flow of goods and services produced in an economy over a specified period of time.

are those given by the government to individuals or households but which do not contribute to current production in return for them.

Are consumer goods such as appliances and furniture, which usually last for several years.

NON PRODUCTIVE TRANSACTIONS CONSIST OF