Full Form of GDP
The Full Form of GDP is Gross Domestic Product. GDP is the total market value of all the goods and services produced within a country every year. Gross Domestic Product measures the monetary values of final goods and services.
This is used to measure the overall growth of the nation within a year and development of the economy. GDP increases the standard of the living of the people and the country. A country who has high GDP rate is considered as good and rich country for living.
There are three main sectors that contributes with GDP:-
- Service sector
- Agricultural sector including allied services
- industrial sector
There are many different approaches to calculate the GDP:-
- Income approach
- Production approach
- Expenditure approach
This is the formula to calculate the Gross Domestic Product:-
Gross Domestic Product=Private Consumption + Gross Investment + Government Spending + Export and Import