Question

Government of India has recently launched ‘Jan-Dhan Yojna’ aimed at every household in the country to have at least one bank account. Explain how deposits made under the plan are likely to effect national income of the country ?

Answer 1

• The idle savings of people would be mobilised and then made available for investment.
• This will likely increase the level of output of goods and services in the country.
• Thus, national income of the country would increase.