A variety of measures of national income and output are used in economics to estimate total economic activity in a country or region, including Gross Domestic Product (GDP), Gross National Product (GNP) and Net National Income (NNI). All are especially concerned with counting the total amount of goods and services produced within some defined boundary. The boundary is usually defined by geography or citizenship and may also restrict the goods and services that are counted. For instance, some measures count only goods and services that are exchanged for money, excluding bartered goods, while other measures may attempt to include bartered goods by imputing monetary values to them.
To measure how much output, spending and income has been generated in a given time period we use National Income Accounts.
These accounts measure three things:
1. Output: I.e. The total value of the output of goods and services produced in the UK.
2. Spending: I.e. The total amount of expenditure taking place in the economy.
3. Incomes: I.e. The total income generated through production of goods and services.
Consumer spending accounts for over two thirds of total spending. Consumer spending has been strong in recent years, a reflection of rising living standards and low unemployment, but this may now be coming to an end because of the mountain of household debt
To measure how much output, spending and income has been generated in a given time period we use National Income Accounts.
These accounts measure three things:
1. Output: I.e. The total value of the output of goods and services produced in the UK.
2. Spending: I.e. The total amount of expenditure taking place in the economy.
3. Incomes: I.e. The total income generated through production of goods and services.
Consumer spending accounts for over two thirds of total spending. Consumer spending has been strong in recent years, a reflection of rising living standards and low unemployment, but this may now be coming to an end because of the mountain of household debt
