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Real GDP Definition & Example - InvestingAnswers
2020年8月21日 · The formula for real GDP is nominal GDP divided by the GDP deflator. The Bureau of Economic Analysis calculates the deflator for the United States. It measures inflation from a designated base year (currently 2012), and is the ratio of price levels today compared to price levels for the base year.
GDP | Gross Domestic Product - InvestingAnswers
2021年1月11日 · GDP Formula. The formula for GDP is as follows: How to Calculate GDP. To arrive at the final calculation, you must find each individual component in the formula. These include: Consumption. Durable goods (items expected to last more than three years) Nondurable goods (food and clothing) Services. Government Expenditures. Defense. Roads. Schools
GDP Per Capita Definition & Example - InvestingAnswers
2020年9月29日 · The formula for GDP per capita is: GDP per capita =Gross Domestic Product / Population. For example, the US GDP per Capita is around $20 trillion in gross domestic product (2018) for a population of more than 300 million people. Using these numbers, that would mean the US GDP per capita is: GDP per capita = $20,000,000,000,000 / 300,000,000 ...
Gross National Product (GNP) | Examples & Definition
2021年5月8日 · Using the formula above, we can calculate the GNP per capita for 2019: Therefore, we can conclude that the 2019 US GNP per capita was $66,322.66. Why Is the Concept of GNP Important? Unlike GDP (which focuses on the output created within the borders of a country), GNP measures the output generated by its citizens, regardless of their location.
Constant-Price GDP Definition & Example - InvestingAnswers
2020年8月12日 · If we set 2000 as the base year, any future GDP is measured against that total. For example, let's assume that in 2001, Country A's GDP produces the same amount of goods and services but now the price of them is $78 because of inflation. Though GDP is now $78, the constant-price GDP is still $55 -- it takes out the effects of inflation.
GDP Gap Definition & Example - InvestingAnswers
2019年10月1日 · How Does the GDP Gap Work? A country's GDP gap is mathematically expressed in the following way and serves as an indicator of where an economy stands in the business cycle: Gap GDP = GDP Actual – GDP Potential. Measured as an indication of the number of jobs in an economy (labor productivity) a positive gap value indicates an expansion. …
Velocity of Money Definition & Example - InvestingAnswers
2020年8月12日 · If Bob and Jane do the same two transactions every month, their ' GDP ' will be $2,400 per year, though the money supply is only $100. The equation for GDP is: GDP = Money Supply x Velocity of Money. To solve for velocity in our example, we rearrange the equation to get Velocity = GDP / Money Supply, or ($2,400 / $100).
NDP -- Net Domestic Product -- Definition & Example
2020年9月29日 · After all, if the country does not replace the capital value lost to depreciation, GDP will fall. note, for instance, that if a country spends $3 trillion on new assets but also records $4 trillion in depreciation, there is no real capital-related economic growth going on, no matter how much the country may publicize the $3 trillion in spending.
Labor Productivity Definition & Example - InvestingAnswers
2020年8月12日 · The formula for labor productivity is: Labor Productivity = Total Output / Total Productive Hours . Gross domestic product (GDP) is generally used as the measure of total output. For example, suppose a country's total output for 2010 was $5 trillion. All members of its labor force worked a total of 100 billion productive hours for the year.
Net Exports Definition & Example - InvestingAnswers
2020年9月29日 · Using the formula above, Canada's net gasoline exports are: Net Exports = $7 billion - $3 billion = $4 billion. Why Do Net Exports Matter? Net exports is an important variable used in the calculation of a country's GDP. When the value of goods exported is higher than the value of goods imported, the country is said to have a positive balance of ...