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The difference between GSDP at factor cost and GSDP at market price is primarily due to:

AInflation and deflation

BPopulation growth

CThe value of imports and exports

DTaxes and subsidies on production

Answer:

D. Taxes and subsidies on production

Read Explanation:

  • The GSDP at factor cost represents the cost of the factors of production (land, labor, capital, etc.).

  • To get the market price, indirect taxes on products are added and subsidies are subtracted.


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