Valuation at market prices, basic prices and factor cost

Incorrect.

Taxes on products refer to taxes which are payable per unit of some good or service. Examples include VAT, custom and excise duties, and taxes on financial and capital transactions.

Other taxes on production refer to taxes on production which are not linked to specific goods or services. Examples include payroll taxes, taxes on pollution and business and professional licences.

Incorrect.

Subsidies on products include direct subsidies payable per unit of production. Examples are subsidies on exports and product-linked subsidies on products used domestically.

Other subsidies on production refer to subsidies that are not linked to specific goods or services. Examples include subsidies on employment or the payroll and subsidies to reduce pollution.

Incorrect.

Subsidies on products include direct subsidies payable per unit of production. Examples are subsidies on exports and product-linked subsidies on products used domestically.

Other subsidies on production refer to subsidies that are not linked to specific goods or services. Examples include subsidies on employment or the payroll and subsidies to reduce pollution.

Incorrect.

In the national accounts, production is valued at basic prices.

Incorrect.

In the national accounts, production is valued at basic prices.

Incorrect.

In the national accounts, income is valued at factor cost.

Incorrect.

In the national accounts, income is valued at factor cost.

Incorrect.

In the national accounts, expenditure is valued at market prices.

Incorrect.

In the national accounts, expenditure is valued at market prices.

Incorrect.

Indirect taxes will cause the market price to be higher than the basic price and subsidies will cause the market price to be lower than the basic prices.

An indirect tax such as VAT on a product causes the price, the market price, to be higher than the price, the basic price, that the producer receives. A subsidy on a product, on the other hand, causes the price that the consumer pays, the market price, to be lower than the price, the basic price, that the producer receives.

Incorrect.

Indirect taxes will cause the market price to be higher than the basic price and subsidies will cause the market price to be lower than the basic prices.

An indirect tax such as VAT on a product causes the price, the market price, to be higher than the price, the basic price, that the producer receives. A subsidy on a product, on the other hand, causes the price that the consumer pays, the market price, to be lower than the price, the basic price, that the producer receives.

Incorrect.

Indirect taxes will cause the market price to be higher than the basic price and subsidies will cause the market price to be lower than the basic prices.

An indirect tax such as VAT on a product causes the price, the market price, to be higher than the price, the basic price, that the producer receives. A subsidy on a product, on the other hand, causes the price that the consumer pays, the market price, to be lower than the price, the basic price, that the producer receives.