1. while converting from domestic income to national income , net factor income to abroad having negative amount ex. -300 then it will be added or subtracted?
2. how increase in govt. expend. leads to increase in interest rate ? it should be decrease na bcoz. money supply increase in market by govt exp. so bank should lend money at lower int. rate.
3. taking public debt as a fiscal tool, govt. should increase debt or decrease in case of Recession?
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but in q. no. 1 i am talking about net factor income TO abroad , not the net factor income from abroad .
net factor inc. to abroad is basically the negative balance of net factor income from abroad so while converting domestic inc. to national inc. we shall subtract net factor inc. to abroad having + balance but in my case i had taken net factor inc. to abroad having negative balance so it should be added na