GOVERNMENT OF INDIA

MINISTRY OF PLANNING

LOK SABHA

UNSTARRED QUESTION NO: 5362

ANSWERED ON:28.04.2010

CALCULATION OF GROSS DOMESTIC PRODUCTS

(a) whether decrease or increase in national resources is taken into account while calculating Gross Domestic Product of the country;

(b)if so, the details thereof;

(c)if not, the reasons therefor; and

(d)the quantum of increase or decrease registered in the national resources from the years 2004- 05 to 2008-09?

ANSWER

 MINISTER OF STATE IN THE MINISTRY OF PLANNING AND MINISTER OF STATE IN THE MINISTRY OF PARLIAMENTARY AFFAIRS (SHRI V. NARAYANASAMY)

(a) to (d):In the computation of Gross Domestic Product (GDP), increase or decrease in produced assets, which form a part of national resources, is taken into account. There is a continuous increase in the produced assets, which is measured as gross fixed capital formation(GFCF). The decrease in the produced assets is measured as consumption of fixed capital (CFC). The details of GFCF and CFC for the years 2004-05 to 2008-09 are given below:

Estimates of Gross Fixed Capital Formation (GFCF) & Consumption of Fixed Capital (CFC) at current prices

 (Rs. in crore) Year GFCF CFC

2004-05 931517 321229

2005-06 1126917 369730

2006-07 1347057 424915

2007-08 1630513 489217

2008-09 1838499 575229

Source: Central Statistical Organisation