Meaning of definition:

The meaning of a “definition” is an explanation of the meaning of a word, concept, or term. A definition provides clarity by describing what something is, its characteristics, or how it is used. The concept of definition refers to the process of explaining the meaning of a term, idea, or object clearly and precisely. It involves identifying the essential characteristics that distinguish the subject being defined from others.

DEFINITONS OF NATIOAL INCOME:

National income refers to the total monetary value of all goods and services produced within a country over a specific period, typically one year. It represents the overall economic performance of a nation and is used to measure economic growth and development. Here are some important definitions of national income:

1. According to National income committee “a national income estimate measure the value of commodities and services turned out during a given Counted without duplication.”
2. Central Statistical Organization (CSO), of India – “National income is the sum total of factor incomes, i.e., compensation of employees, rent, interest, and profit, accruing to the normal residents of a country.”
3. World Bank Definition – “National income is the total value of all goods and services produced within a nation’s economy plus net factor income from abroad.”
4. According to Alfred Marshall – “The labour and capital of a country, acting on its natural resources, produce annually a certain net aggregate of commodities, material and immaterial, including services of all kinds. This is the true net annual income or revenue of the country.”
5. In the words of Simon kuznets “the national income is the net output of commodities and services flowing during the year from the country’s productive system into the hands of the ultimate consignors or Internet edition to the country’s stock of capital goods.”
6. According to Fisher “national income is dividend or income consists solely of services as received by ultimate consumers, weather from there material or from their human environment. Does a piano or an overcoat made for this year is not a part of this year’s income but an addition to capital. Only the services rendered to one during this year by these things are income.”
7. According to J.R. Hicks “National income is the maximum amount that can be consumed in a given period without reducing the ability to produce the same in the future.”

Elements of national income.

1. It is a measurement of goods and services.
2. one factor of production counts once only
3. The value of depreciation is deducted.
4. Transfer payments such as age old pensions, unemployment allowances Etc. are extended from the national income.

also refer: explain the importance of estimation of national income.