Answer to Question #144973 in Macroeconomics for Suman rai

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

Gross domestic product is the value of a country's finished goods and services during a specific period of time.

Gross national product refers to the value of all finished goods and services owned by the citizens of a country over a peŕiod of time.

The differences between these concepts are gross national product measures the national income of a country while the gross domestic product measures income on all citizens whether in or out of their country