What is the difference between gdp and ndp of a country?
Answer:
GDP is the market value of all final goods and services produced in a country in a year. NDP is net domestic product, it measures the above "birthing" of new goods and services, but accounts for the fact that while goods are being birthed, a "death rate" is also going on. In other words, some productive assets are depreciating--known as consumptions of fixed capital. I think NDP is a better indication of what is really going on in an economy. Think of it again as a birth rate after considering the death rate of capital (plant, equipment, machinery, etc).
P.S. I think the previous responder thought you asked the difference between GDP vs GNP. I don't know if he saw NDP.
GDP or Gross Domestic Product, is the total amount of money earned by a certain country , and only on that country itself, including all the foreign businesses and foreign investments IN the country.
NDP or National Domestic Product, is the total amount of money earned by EVERY citizen of that country, whether he or she is on another country or not.
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