Difference in Calculating National Income: Before 2015 vs. After 2015
Before 2015, India used the GDP at Factor Cost method with a base year of 2004-05.After 2015, the base year for GDP was revised to 2011-12, and the..
Difference in Calculating National Income: Before 2015 vs. After 2015 The method of calculating National Income in India underwent significant changes after 2015, which are important from the perspective of the UPSC Mains examination. These changes reflect updates in the base year , the method used for calculation, and the adoption of more accurate data sources. Below is a detailed comparison of the methods used before 2015 and after 2015 : Issues with the New System of Calculating National Income and GDP - Target IAS Kannada For UPSC Mains: Calculating National Income Before and After 2015 Before 2015, India used the GDP at Factor Cost method with a base year of 2004-05 . The National Income data was mainly based on the National Accounts Statistics (NAS) , using data from limited sources like the Annual Survey of Industries (ASI) and sample surveys. The informal sector was underrepresented, and the measurement of GDP components, especially investment, had data gaps. After 2015, the base year f…