Download GDP, GNI, etc… - World Bank Group

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GDP, GNI, etc…
Derek Blades
National Accounts Workshop
Washington - DC, October 25-26, 2010
GDP
• GDP = Gross Domestic Product
• GDP = Gross output of enterprises, government and
NPISH minus intermediate consumption
• GDP = Consumption expenditure, capital formation and net
exports
• It is “Gross” because depreciation has not been deducted
• It is “Domestic” because it refers to production that takes
place in the “domestic territory” of a country.
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GNI
 GNI is Gross National Income
 GNI used to be called GNP (Gross National Product)
 GNI = GDP plus interest, dividends and wages and
salaries from abroad, minus these same items transferred
to non residents
 GNI is that part of GDP that is received by residents of the
“nation”.
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NDP, NNI
• If depreciation is subtracted from GDP or GNI they become
Net Domestic Product and Net National Income
• NNI is also called „National Income”
• Depreciation is the decline in the current market price of
fixed assets due to wear and tear, and obsolescence.
• National accountants say “consumption of fixed assets”
rather than “depreciation”
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Net and Net
 Sometimes “net” means after deducting CFC
− NDP, NNI and NDI
 Sometimes “net” means after deducting a flow in the
opposite direction
− Net transfers received, net exports, net property income received…
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