The significance of centralised cash reserves with the central bank are: Banks get financial accommodation when required. The central bank gets an opportunity to exercise control over the banking system of the country.

No, it is not included in intermediate consumption. This is because purchase of machinery is a fixed asset. The producer has purchased the machinery not for the purpose of resale but for the purpose of using it up in the production process.

The circular flow helps in calculating national income on the basis of the flow of funds accounts. The flow of funds accounts are concerned with all transactions in the economy that are accomplished by money transfers.

A boom refers to a period of increased commercial activity within either a business, market, industry, or economy as a whole. For an individual company, a boom means rapid and significant sales growth, while a boom for a country is marked by significant GDP growth. Booms usually suggest the economy is overheating creating a positive output gap and inflationary pressures. A boom suggests the economy is growing at a faster rate than the long-run trend rate of economic growth.

The central issues in Macroeconomics relate to the overall level of employment, growth rate of national output, general price level and stability of the economy.

Limitations of using GDP as an indicator are as follows: 1. Distribution of GDP: It is possible that with rise in GDP, inequalities in the distribution of income may also increase, i.e. the gap between rich and poor increases. GDP does not take into account changes in inequalities in the distribution of income. So, welfare of the people may not rise as much as the rise in GDP.  2. Change in prices: If increase in GDP is due to rise in prices and not due to increase in physical output, then it will not be reliable index of economic welfare.  3. Non-monetary exchanges: Many activities in an economy are not evaluated in monetary terms. For example- non-market transactions like services of housewife, kitchen gardening, leisure time activities etc. are not included in GDP, due to non-availability of data. However, such activities influence the economic welfare.  4. Externalities: Externalities refers to benefits or harms of an activity caused by a firm or an individual, for which they are not paid or penalised. Activities which results in benefits to others are termed as positive externalities and activities which result in harm to others are termed as negative externalities.  5. Rate of population growth: GDP does not consider the changes in the population of a country. If rate of population growth is higher than the rate of growth of GDP, then it will decrease the per capita availability of goods and services, which will adversely affect the economic welfare.  Finally, it can be conducted that GDP may not be taken as a satisfactory measure of economic welfare due to above mentioned limitations, yet it does reflect some index of economic welfare.Read more on Sarthaks.com - https://www.sarthaks.com/60192/write-down-some-of-the-limitations-of-using-gdp-as-an-index-of-welfare-of-a-country

The methods of credit control adopted by the 'Central Bank' are: 
1. Quantitative Methods of monetary policy includes those instruments which focus on the overall supply of the money. It includes :-
A. Two Policy Rates: Bank rate is the rate charged on the loans offered by the Central bank to the commercial banks without any collateral. It is increased at the time of inflation to reduce the money supply in the economy and vice versa. 
Repo rate is the rate charged on the secured loans offered by the Central bank to the commercial banks that includes collateral. It is increased at the time of inflation to reduce the money supply in the economy and vice versa. 
B. Two Policy Ratio:Statutory Liquidity Ratio (SLR) refers to liquid assets that the commercial banks must hold on daily basis as a percentage of their total deposits. SLR is determined by the central bank and is a legal requirement to be fulfilled by the commercial banks.  It is increased at the time of inflation to reduce the money supply in the economy and vice versa. 

Cash Reserves Ratio (CRR) refers to the proportion  of total deposits of the commercial banks which they must have keep as cash reserves with the central bank. The ratio is fixed by the central bank and is varied from time to time to control the supply of money in the economy depending upon the prevailing situation of inflation or deflation.
C. Open Market Operations:  Open market operation (OMO) is a monetary policy by the central bank in which the bank deals in the sale and purchase of securities in the open market to control the supply of money in the economy. By selling the securities, the central bank soaks liquidity from the economy and by buying the securities, the central bank releases liquidity. 
2. Qualitative Methods of monetary policy includes those instruments which focus on the selected sectors of the economy. It includes :-
A. Margin Requirement: Margin requirement refers to the difference between the current value of the security offered for loan (called collateral) and the value of loan granted. It is a qualitative method of credit control adopted by the central bank in order to stablise the economy from inflation or deflation.
B. Rationing of Credit: Rationing of credit refers to fixation of credit quotas for different business activities which is introduced when the flow of credit is to be checked particularly for speculative activities in the economy. 
C. Moral Suasion: The central bank makes the member bank agree through persuasion or pressure to follow its directives which is generally not ignored by the member banks. The banks are advised to restrict the flow of credit during inflation and be liberal in lending during deflation. 

Commercial banks create money even though they cannot print money. Bank deposits form the basis for credit creation. They accept deposits from the public by opening a deposit account known as the primary deposit. Banks do not hold the money in the account itself, and the entire amount is not withdrawn from the account at the same time. So, they advance loans to business persons and retain only a small portion of the total deposits in the bank. The Central Bank decides the amount to be held in the form of cash and the remaining amount is advanced as loans to business persons only against collateral securities. The bank will not give cash but open a derivative account in the name of the individual or institution. Here, the loans create a derivative deposit which is called a secondary deposit or derivative deposit. This secondary deposit is called the creation of credit. Hence, the banks are able to provide financial assistance to traders and industrialists. Their cheques and drafts are useful for trading on a large scale. It also provides concessional loans to the priority sectors such as agriculture, small-scale industry, retail trade and export. Thus, the production activity increases the overall development of the nation. 

Commercial banks create money even though they cannot print money. Bank deposits form the basis for credit creation. They accept deposits from the public by opening a deposit account known as the primary deposit. Banks do not hold the money in the account itself, and the entire amount is not withdrawn from the account at the same time. So, they advance loans to business persons and retain only a small portion of the total deposits in the bank. The Central Bank decides the amount to be held in the form of cash and the remaining amount is advanced as loans to business persons only against collateral securities. The bank will not give cash but open a derivative account in the name of the individual or institution. Here, the loans create a derivative deposit which is called a secondary deposit or derivative deposit. This secondary deposit is called the creation of credit. Hence, the banks are able to provide financial assistance to traders and industrialists. Their cheques and drafts are useful for trading on a large scale. It also provides concessional loans to the priority sectors such as agriculture, small-scale industry, retail trade and export. Thus, the production activity increases the overall development of the nation. 

Positive contribution of British Rule:
British Rule also had some poisitve effects on Indian economy. They are discussed as under :
(1) Self-sufficiency in food grain production : Commercialization of agriculture initiated by British Government resulted in self-sufficiency in food grain production.
(2) Better means of Transportaion : Development of roads and railways provided cheap and rapid transport system and opened up new opportunities of economic and social growth.
(3) Check on Famines : Roads and railways worked as a great check on the occurrance and impact of famines as food supplies could be transported to the affected areas in case of droughts.
(4) Shift to Monetary Economy : British rule helped Indian economy to shift from barter system of exchnage (exchange of good for goods) to monetary system of exchange.
(5) Effective Administrative setup : The British Government had an efficient administration system, which served as a ready reckoner for Indian politicians.

The drain of Indian wealth during colonial period : The drain of Indian wealth during colonial period means using export surplus as payments for expense incurred by an office set up by the colonial government in Britain, expenses on war fought by the British Government and the import of invisible items.

Liberalization refers to laws or rules being liberalized, or relaxed, by a government. ... Liberalization came to the English language in 1835, from the word liberal. Literally translated, it means the act of making more liberal, or freer. Economic liberalization refers to the reduction or elimination of government regulations or restrictions on private business and trade. For example, the European Union has liberalized gas and electricity markets, instituting a competitive system.

Features of India's pre-independence occupational structure : Following were the features of India's pre-independence occupational structure:
 

1. Pre-dominance of agricultural sector: During pre-independence period, agriculture was pre-dominant. About 85% population of the country lived mostly in villages and derived their livelihood directly or indirectly from agriculture.

2. Regional variation : There was growing regional variation. The cotton textile mills, mainly dominated by Indians were located in the western parts of the country namely Maharashtra and Gujarat. The jute mills dominated by foreigners were mainly concentrated in Bengal.

3. Unbalanced growth : There was unbalanced growth in the economy. All the sectors of the economy were not growing equally. During the second half of the 19th century, modern industry began to take root in India, but its progress ramained very slow. There was hardly any capital goods industry to help and promote further industrialisation in India. The growth rate of the new industrial sector and its contribution to Gross Domestic Product remained very small. The growth of service sector was negligible.

Railways led to increased agricultural output, export of food-grains, widening of markets, commercialization of agriculture, and, hence, cropping pattern. As railways widened the markets for the agricultural sectors, Indian agriculture became linked to the world trade cycles. 

In India, railways was introduced by Britishers in 1850. It affected the structure of the Indian economy in many ways:
(i) It enabled people to undertake long distance travel and thereby break geographical and cultural barriers.
(ii) It fostered commercialisation on Indian agriculture which adversely affected the self¬sufficiency in the village economies of India.

Process of money (credit) creation. Suppose a man, say x, deposits र 2000, with a bank and the LRR is 10% which means the bank keeps only the minimum required र 200 as cash reserve. The bank can use the remaining amount र 1800 (= 2000 - 200) for giving loan to someone. (Mind, loan is never given in cash but it is reflected as demand deposit in favour of borrower.) The bank lends र 1800 to, say y, who is actually not given loan but only (demand deposit) account is opened in his name and the amount is credited to his account. This is the first round of credit creation in the form of secondary deposit (र 1800) which equals 90% of primary (initial) deposit. Again 10% of Y‘s deposit (i.e., र 180) is kept by the bank as cash reserve and the balance र 1620 (= 1800 – 180) is advanced to, say z. The bank gets new demand deposit. This is second round of credit creation which is 90% of first round of increase of र 1800. The third round of credit creation will be 90% of second round of र 1620. This is not the end of the story. The process of credit creation goes on continuously till derivative deposit (secondary deposit) becomes zero. In the end volume of total credit created in this way becomes multiple of initial (primary) deposit. The quantitative outcome is called money multiplier. If the bank succeeds in creating total credit of say, र 18,000, it means bank has created 9 times of primary (initial) deposit of र 2000. This is what is meant by credit creation. In short money (or credit) creation by commercial banks is determined by (i) amount of initial (primary) deposits, and (ii) LRR. The multiple is called credit creation or money multiplier. Symbolically:
Credit creation = 
Money multiplier. It means the multiple by which total deposit increases due to initial (primary) deposit. Money creation (or credit creation) is the inverse of LRR.
If LRR = 10%, i.e., 0.1, then money multiplier 
Smaller the LRR, larger would be the size of money multiplier.

yes because it is the gross domestic product,

If gdp is more than then it means it is a developed country or developing(*some cases like India).

If gdp is lesser than gnp means it is a underrdeveloped country