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GDP What Is The Difference Essay

It looks at any kind of value that is added plus the taxes associated with the product. However, area such as subsidies and income from abroad are not calculated in these figures. (Pettinger) The data that is provided is showing how the GNI is concentrating on the total income that is earned by the citizens of a country. This helps economists to determine their standard of living and purchasing power of consumers. In the future, this improves the accuracy of their forecasts by offering them with a tool to objectively compare and analyze each country. ("Calculating GNI) (Pettinger)

The main differences between the GDP, GNP and GNI are the areas of focus that is taken by economists. This is because the GDP is concerned about national output and production. While the GNP, is looking at the total amounts of activity domestically and abroad. It is seeking to understand the complete levels of productivity...

(Pettinger)
The GNI is different from both by examining the impact of national income levels on productivity and the standard of living. Each one of these areas is designed to provide specific insights about the total amounts of economic output, domestic capacity and income. This is the point when actuaries can objectively analyze productivity using contrasting indicators (which are focused on specific aspects of the economy). (Pettinger)

Works Cited

"Calculating GDP." Mind Tools, 2013.Web. 24 Feb. 2013

"Calculating GNI." Pemandu, 2013. Web. 25 Feb. 2013

"Gross National Product." Investing Answers, 2013. Web. 25 Feb. 2013 http://www.investinganswers.com/financial-dictionary/economics/gross-national-product-gnp-3176

Pettinger, Tejvan. "Difference between GNP, GDP and GNI." Economics Help, 2012. Web. 24 Feb. 2012.

Sources used in this document:
Works Cited

"Calculating GDP." Mind Tools, 2013.Web. 24 Feb. 2013 <http://www.mindtools.net/GlobCourse/formula.shtml>

"Calculating GNI." Pemandu, 2013. Web. 25 Feb. 2013

"Gross National Product." Investing Answers, 2013. Web. 25 Feb. 2013 http://www.investinganswers.com/financial-dictionary/economics/gross-national-product-gnp-3176

Pettinger, Tejvan. "Difference between GNP, GDP and GNI." Economics Help, 2012. Web. 24 Feb. 2012. <http://www.economicshelp.org/blog/3491/economics/difference-between-gnp-gdp-and-gni/>
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