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Gross National Income is always more than Net National Income because it includes
Foreign income
Capital consumption allowance
Indirect taxes
Direct taxes
GNI calculates the total income earned by a nation's people and businesses, including investment income, regardless of where it was earned. It also covers money received from abroad such as foreign investment and economic development aid.In national income accounting, net national income (NNI) is net national product (NNP) minus indirect taxes. Net national income encompasses the income of households, businesses, and the government. ... G = Government spending. NX = net exports (exports minus imports) = (X – M)
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