Double Counting - Double counting means counting of the value of the same product more than once in calculating the national income.
Two ways of avoiding double counting :
(i) Take the value of final goods only : According to this method, the value of intermediate goods is not considered. Only the value of final goods should be added to determine the national income.
(ii) Adopt value added method: According to this method, sum total of the value added by each production unit should be taken in the computation of national income.