Which statement about National Income accounting is correct when Gross Domestic Product (GDP) is transformed into Net National Income (NNI)?
- AAn allowance for depreciation has to be made, because the NNI does not include output that replaces capital that has been used up.
- BBoth GDP and NNI have to be calculated by the incomes method, because that is what NNI is measuring.
- CDouble counting is not a problem if the conversion uses the output method, but it is when using the expenditure method.
- DThe value of exports needs to be added, because exports generate income for citizens.