National Income Aggregates:Â Gross Domestic Product (GDP), Gross National Product (GNP), Net Domestic Product (NDP) and Net National Product ( […]
 Four – Sector Open Model of Circular Flow of Income : Model with Foreign Sector    An open economy is an
 Three Sector Model: Closed Model with Govt. Sector A three sector model comprising households, firms and government is a realistic
Two Sector Model Without Saving and Investment The two sector model consists only households and firms (production units). Â This
 What is Circular Flow of Income ? The circular flow of income is an economic model which is designed to
 Budgetary Procedure: The budgetary process in India involves four different operations namely,     1. Preparation of the Budget Â
 Balanced Budget Vs. Deficit or Surplus Budget On the basis of the magnitude of receipts and expenditures budget can be
Classification of Govt. Expenditure: Â Â Budget expenditure is the estimated expenditure to be incurred by the govt. during a
Classification of Budget Receipts:   The central government raises its revenue in the budget through  a. Revenue Receipts and  b.
Components of The Budget: Â Â The Constitution of India demands that the budget must distinguish expenditure on revenue account from
