Can anyone explain me the difference between GDP,GNP and GNI,for AS econ unit 02
Difference between GDP,GNP and GNI Watch
- Thread Starter
- 15-03-2016 07:53
- 22-03-2016 10:20
GNP and GDP both reflect the national output and income of an economy. The main difference is that GNP (Gross National Product) takes into account net income receipts from abroad.
- GDP (Gross Domestic Product) is a measure of national income / national output and national expenditure produce in a particular country.
- GNP = GDP + Net property income from abroad. This net income from abroad includes, dividends , interest and profit.
GNP includes the value of all goods and services produced by nationals whether in the country or not.
GNI is the sum of value added by all resident producers plus any product taxes (minus subsidies) not included in the valuation of output plus net receipts of primary income (compensation of employees and property income) from abroad.