Definition
- Gross domestic product
- Gross domestic product is the value of all final goods and services produced within a country in a given year.
- Not to be confused with: Gross national product
- Gross national product is the value of what a country's citizens and firms produce, wherever in the world they are located.
Test yourself
What is the difference between gross domestic product and gross national product?
GDP counts output made inside the country; GNP counts output made by its citizens and firms, wherever they are.