There are multiple methods for measuring the economic activity over a set amount of time within any given country.
The GDP is the most common method for this. GDP stands for gross domestic product and is defined as the dollar value of all new goods and services provided by the country within a set amount of time. That means that it doesn't include goods imported from foreign countries or goods and services that were provided and still in existence from a previous time slot. The GDP is usually measured annually (yearly), therefore the GDP is a dollar value of the worth of all goods and services provided within that year by the country in question. In context, if a good was made a few years ago, or by a foreign country, then it wouldn't count towards that years GDP value.
Another method is by analyzing the NNI, which stands for Net National Income. This is relevant to the accountancy of a national income. It is defined by using the data from the NNP (net national product) minus any indirect taxes.
This can be expressed by:
Net national Income = Consumption + Investments + Government spending + net exports (exports minus imports).
The GDP is the most common method for this. GDP stands for gross domestic product and is defined as the dollar value of all new goods and services provided by the country within a set amount of time. That means that it doesn't include goods imported from foreign countries or goods and services that were provided and still in existence from a previous time slot. The GDP is usually measured annually (yearly), therefore the GDP is a dollar value of the worth of all goods and services provided within that year by the country in question. In context, if a good was made a few years ago, or by a foreign country, then it wouldn't count towards that years GDP value.
Another method is by analyzing the NNI, which stands for Net National Income. This is relevant to the accountancy of a national income. It is defined by using the data from the NNP (net national product) minus any indirect taxes.
This can be expressed by:
Net national Income = Consumption + Investments + Government spending + net exports (exports minus imports).