Expenditure Components of GDP
Expenditure components of GDP (aggregate demand)
From the expenditure side, GDP at current market prices can be seen as the sum of
(a) consumption—both private and public,
(b) investment, also known as Gross Capital Formation (GCF) which comprises fixed capital formation, change in stock and valuables and
(c) net exports which represent the difference between exports and imports of goods and non-factor services.
Private Final Consumption Expenditure (PFCE)= Total consumption by the households and for the households in domestic market + Final Consumption Expenditure of Resident Households in the Rest of the World + Final Consumption Expenditure of Non-resident Households in the Economic Territory.
Private Final Consuption Expenditure for the year 2019-20 = Rs.83,21,701 crore
Per Capita PFCE( ₹) for the year 2019-20 is: 62056.
Government Final Consumption Expenditure (GFCE) means expenditure incurred by government in its production of non-market final goods and services (except Gross Fixed Capital Formation) and market goods and services provided as social transfers in kind.
Government FinalConsumpton Expenditure(GFCE) for the year 2019-20 = Rs.15,41,742 crore.