Formula Let’s look at a few measures of national income at factor cost. Gross Domestic Product at factor cost This is a commonly used parameter and helps calculate the output in terms of factors of production. GDP–FC = GDP–MP + Subsidies – Indirect Taxes Net National Product at factor...
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cMP = market prices, FC = factor cost. dFor constant-price GDP. eIdentical series for 1920-1938 in Solomou and Weale (1996, pp. 100-113), where GDP at market prices computable as "GDP [at factor cost]" plus "taxes on expenditure" minus "subsidies" (current prices), or plus "...