how economic activities add value to the national income

Economic activities are those activities which result in the production of goods and services. The economic activities are further divided into market and non-market activities. Market activities provide an income to those who are involved in it. These are production of goods and services including government services. Non-market activities result in production for self consumption. Thus, economic activities that result in production of goods and services will contribute to the generation of national income.

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Economic activities are activities which help in the provision or manafacture of goods and services. These increase the productivity and economy of both the society and country. People i.e. the society benefits from it. On the other hand Non economic activities are mainly the ones which are self consumotion. They don't benefit the society thus don't add up in the Natioman income.

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