Accounting of National Income at constant price is called :
Options:
Nominal Income
Real Income
Domestic Income
GDP Deflator
Correct Answer:
Real Income
Explanation:
The correct answer is option (2) : Real Income
Real Income refers to national income measured at constant prices, meaning it is adjusted for inflation to reflect the true purchasing power of money over time.
This allows for a more accurate comparison of economic performance across different years by eliminating the effect of price changes.
