Write any four difficulties in measurement of national income.

The measurement of national income faces several challenges due to the complexities involved in capturing all economic activities. Here are four key difficulties:

1. Non-Market Transactions Household production (e.g., cooking, childcare) and informal barter exchanges are excluded from official calculations, leading to underestimation of total output.

2. Underground Economy Illegal activities (e.g., drug trade, unregistered businesses) are not recorded, distorting the true size of economic activity.

3. Quality Changes and New Goods Improvements in product quality or the introduction of new goods (e.g., smartphones replacing basic phones) are difficult to quantify in monetary terms, affecting price-based measurements.

4. Intermediate vs. Final Goods Distinguishing between intermediate goods (used in production) and final goods (consumed by households) is challenging, as double-counting can inflate national income figures.