National Income
National Income refers to the total monetary value of all final goods and services produced within a country during a specific period, usually a year. It serves as an important economic indicator of a country’s economic performance and overall wealth. National income can be measured using three main approaches: the production approach (total output), the income approach (total income earned), and the expenditure approach (total spending). Understanding national income helps in formulating economic policies and assessing living standards.
Underwriters
Underwriters are financial professionals or institutions that evaluate and assume the risk associated with underwriting financial securities, such as stocks and bonds. They play a crucial role in the issuance of new securities by assessing the creditworthiness of the issuer, determining the appropriate pricing, and guaranteeing the sale of the securities to investors. Underwriters help companies raise capital by ensuring that there is a market for their securities, thus facilitating smoother capital market operations.
Atmanirbhar Bharat
Atmanirbhar Bharat, or “Self-Reliant India,” is an initiative launched by the Government of India in 2020 aimed at promoting self-sufficiency in the Indian economy. The initiative focuses on enhancing domestic manufacturing, reducing dependency on imports, and boosting local businesses. It encompasses various sectors, including agriculture, manufacturing, and services, and emphasizes promoting entrepreneurship, innovation, and the use of local resources. The initiative is part of India’s broader strategy to strengthen its economy, especially in the context of global disruptions caused by events like the COVID-19 pandemic.
Balance of Payments (BoP)
The Balance of Payments (BoP) is a comprehensive record of all economic transactions between residents of a country and the rest of the world over a specific period, usually a year. It includes two main accounts: the current account (which records trade in goods and services, income, and current transfers) and the capital account (which tracks capital transfers and transactions in financial assets). The BoP is crucial for understanding a country’s financial stability and economic health, as it reflects the flow of foreign exchange and indicates whether a country is in a surplus or deficit situation.