Question

Discuss the concepts of:
(i) $NDP$ at $MP$,
(ii) $GNP$ at $FC$,
(iii) $GDP$ at $MP$.

Answer 1

(i) NDP(at MP) : Net Domestic Product at market price. It refers to the market value of final goods aand servicess produced within the domestic territory of a country during the period of an accounting year, exclusiive of depreciation.
(ii) GNP(at FC): Gross National Product at factor cost. It refers to the sum total of factor incomes generated within the domestic territory of a country during the period of an accounting year, inclusive of depreciation and net factor income from abroad.
(iii) GDP(at MP) : Gross Domestic Product at Market price. It is the sum total of market value of final goods aand servicess produced within the domestic territory of a country during the period of an accounting year, (inclusiive of depreciation and exclusive of net factor income from abroad)