Question

Discuss the importance of national income statistics to the government of Ghana

Answer 1

Answer:

The national income statistics are important to any government, including the government of Ghana.

The national income statistics measure the production of goods and services within the country, or by nationals from the country.

There are three important measures that are obtained from national income statistics:

• Gross National Product (GDP): values the amount of goods and services produced domestically (in this case, whithin Ghana), in a given yar.
• Gross National Product (GNP): values the amount of goods and services produced by Ghanian citizens, whether they live in Ghana or abroad. This measure is very important because there are many Ghanians living in other countries
• Net National Product (NNP): It is equal to gross national product minus depreciated assets. This measure is important because it helps the Ghanian government see which investments are actually productive, and not just replacement investments for depreciated assets.