Answer to Question #143572 in Economics of Enterprise for GEET

Question

Rohan is appointed an economics’professor in a reputed university. In his first lecture, students asked him to elaborate on Gross Domestic Product (GDP) and Gross National Product (GNP). Help Rohan to prepare his first lecture on the given topic with relevant example and highlight the differences between the two concepts. 

Answer 1

• GDP measures the value of goods and services produced within a country's borders, by citizens and non-citizens alike.
• GNP measures the value of goods and services produced by only a country's citizens but both domestically and abroad