GDP

GDP means Gross Domestic Product:

• Gross: Total
• Domestic: Limited to a Country/ Region/ City, etc.
• Product: Production, which we explored here

As such, GDP is the total production of a Country.

Measuring GDP

In the real world, we can't count every single product and service that a countries makes. So, as an approximation, GDP is generally calculated as the total money spent on things a country produced.

There are 4 components to GDP:

• Consumer Spending: Money spent by consumers
• Government Spending: Money spent by the government
• Investment: Money spent in Investments
• Net Exports: Exports - Imports

This is why most politians focus so much on GDP, it fundamentally represents how productive their country is!

Thanks for reading!
Remember to Upvote and Resteem, so that I can keep making many posts per week!

Take a look at the couple ways there are to present GDP

Also check out the previous post!