Video narration
Then ask what was used up while producing it. If machines and buildings wore out by 8, that is consumption of fixed capital-the national-accounts version of depreciation. Gross national income becomes net national income of 95 at market prices. To reach national income in the conventional net-factor-cost sense, also remove net product taxes: 10 in taxes minus 2 in subsidies. National income is 87. Now read a real India figure carefully. In MoSPI's 31 May 2024 Provisional Estimates release, using the 2011-12 series, India's GDP for financial year 2023-24 was about 295.36 lakh crore rupees at current prices. Financial year means April 2023 through March 2024. That current-price number includes both changing quantities and changing prices. For the same financial year, at constant 2011-12 prices, GDP was about 173.82 lakh crore rupees. That is the version used to discuss real growth rather than price increases. Official estimates are revised as more source data arrive, so the release vintage matters. These accounts measure recorded production and income flows. They do not tell you how income is shared, value unpaid household work fully, or subtract environmental damage. A bigger GDP also does not mean every person is better off. So, is GDP simply the income of all Indians? No. GDP measures production inside India; national income adjusts that total for cross-border income and the capital used up producing it.