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Grexit
April 30, 2020
Gross Domestic Product – Japan
April 30, 2020

Gross Domestic Product

Published by TradersColo at April 30, 2020
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    Gross domestic product (GDP) is a measure of the total value of all final goods and services produced in a country in a specific time period, usually calculated on an annual basis, but excluding the income of foreign residents and corporations overseas.

    GDP is one of the most widely used indicators to measure the output or production of an economy. GDP per capita measures a country’s economic output that accounts for its number of people.

    GDP is very important because it provides information about the size of the economy and its performance. Economists can use GDP to determine whether an economy is contracting or expanding, whether it needs a boost or restraint, and whether threats such as recession or inflation are imminent.

    GDP calculation:
    GDP = Consumption + Investment + Government Expenditure + Exports – Imports

    Related Articles:
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    • Glossary: German Annual Gross Domestic Product
    • Glossary: NIESR GDP Estimate – United Kingdom
    • Glossary: Quantitative Analysis
    • Glossary: Business Inventories
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