National Income — Economics STD 12 Commerce / Arts — Question

Yes, I agree with this statement.
There are many statistical difficulties faced in the estimation of National Income due to which N.I. estimates are not accurate. They are as follows :

• There is the danger of double counting by including the value of intermediate goods.
• Inadequate and unreliable information regarding income and expenditure leads to inaccuracy in estimating N.I.
• In India, people are illiterate and ignorant, so they do not maintain proper accounts.
• To evade tax people do not reveal their exact income.
• The sources from which data are obtained are not absolutely reliable.
• Statistical staff are untrained and inefficient.