Gross Domestic Population, Gdp, And Economic Growth

In this assignment, I aim to explain the definition of Gross Domestic Product, how it is calculated and how using GDP is a good measure of the economic well-being. First, we need to know what GDP is. According to M.Parkin, ‘’GDP or Gross Domestic Product is the market value of all the final goods and services produced within a country in a given time period” (Parkin M, (2008) Economics, 8th edition). It measures the value of production a quarter of a year. It is also used to measure the general health of the economy. “Countries seek to increase their GDP in order to increase their standard of living. But growth in GDP does not result in increased purchasing power if the growth is due to inflation or population increase. For purchasing power, it is the real, per capita GDP that is important” (http://www.quickmba.com/econ/macro/gdp/ [Accessed 2 Dec. 2014].

Dr. Coyle says that GDP is a measure that reflects mass production well but is not well suited to deal with an economy which is mostly dominated by a large number of varied services. But we should not abandon it in a rush. She suggests that we study three issues in order to move towards a better measure. She calls them Complexity, Productivity and Sustainability.

A primary aim of governments' economic policy includes economic development and management. The presence of a growing economy is perceived as a positive characteristic; with increasing gross domestic product (GDP) being interpreted as positive sign of social well being (van den Bergh, 2008). Countries with a high GDP have higher taxes paid to government, who may use those taxes to provide public services such as education and health, which in turn supports the well being of the citizens. Despite this the measure is often criticized as an indicator of well being. To appreciate the value of GDP as a measure it is necessary to look at what it is and how it may be used as well as recognize the limitation of using GDP.

Every country around the world uses GDP as a way to monitor the overall “output” of its economy, and an understanding of this measurement is vital to success in economics. The text book defines “real GDP” as, “the total value of all final goods and services produced in the economy during a given year, calculated using the prices of a selected base year” (Textbook). The book later goes on to define “GDP per capita” as the “GDP divided by the size of the population; equivalent to the average GDP per person” (Textbook). So, logically we could draw the conclusion that the “real GDP per capita” is simply the real GDP of a nation’s economy divided by the population of said nation, or in other words, it’s “a measure of an economy’s average aggregate output per person” (Textbook pg. 201). Perhaps one of the most defining factors of a country, when compared to other countries, is the overall “standard of living”. The quality of life within countries can vary greatly, even between neighboring, geographical nations. Many people have come to believe that the standard of living within a country is directly proportional to the country’s “real GDP per capita”, when in fact this is far from true. In reality, a “high GDP per capita makes it easier to achieve a good life but countries aren’t equally successful in taking advantage of that possibility” (Textbook pg. 200). It is clear that a country’s standard of living ultimately depends on its ability to effectively use the

To start, I believe that is necessary to discuss the economic concept of a gross domestic product (GDP). In today’s day and age, modern economics defines a GDP as a nations total output over a given period of time. However according to Smith, a nation’s GDP

The main measure of output is gross domestic product (GDP). GDP is the total value of goods and services produced in an economy during one year. Economic growth can be be measured in nominal terms which include inflation, or real terms which are adjusted for inflation.

Economic growth in a city, state, or country is characterized by steady growth in the productive capacity of the economy or a growth of national income (Fernandez- Villaverde, 2001). The Gross Domestic Product (GDP) growth rate is most commonly used to measure economic growth because it is a reflection of the total change in a country’s national output (Filardo, 1999). This growth rate is used to predict the direction of an economy. A positive growth rate indicates a positive economy with more jobs, consumption and income while a negative growth indicates an economic decline (Filardo, 1999). Economic growth constitutes superior productivity, prosperity, and increased capital per capita resulting in a higher quality of living.

It is important to remember that the higher the productivity of the country, the higher it’s Gross Domestic Product (GDP) would be. GDP is often used as the unit of measurement to gauge the market value of every final goods and services produced in the country in a specific period of time. Therefore, to unlock the potential of the country economically, it has

We all are familiar with the term growth. Whether from the newspaper, TV. or from social media, usually involves GDP (gross domestic product) a tool used to measure the growth of a country. It is a primary indicator used to gauge the health of a country 's economy. High GDP means low unemployment and higher incomes as businesses demand labor to meet the growing economy, and that reflects on the development of the country, leaving poverty and entering the growth phase (a constant rate of GDP).

GDP does not include the huge economic benefit that we get directly, outside the market, in other places such as from nature. Nature has aesthetic and moral value as well. Many people can experience awe, wonder and humility in our encounters with this force but we don't have to go so far as to include such subjective

The concept of Gross Domestic Product (GDP), is the measured value of the output, which is currently produced in the domestic economy. This gives a view of the economic wellbeing for the country, it does not however give a deeper insight into the true wellbeing of the citizens within the country. This essay will go over the, definition of GDP, Real versus Nominal GDP, Three ways to calculate GDP, Four components of GDP, types of money transactions not included in GDP and aspects of the standard of living that not addressed in the calculation of GDP.

There was a strong relation between the policy decisions taken during these periods and the economic performance in the form of high growth of GDP and also rising inflation. Though there was not much change in the stance of the monetary policy but there were significant fiscal policy measures that are worth mentioning. One such is the Fiscal Responsibility and Budget Management Act (FRBMA). Heavy initiatives were taken in the direction of fiscal consolidation under such regimes.

Introduction: GDP (Gross Domestic Product) is indicator of a nation’s economic Growth- Measured by the market value of all officially recognized final goods and services produced within a country in a given period. Through GDP growth we can measure the economic growth, especially very much useful indicating tools for measuring growth in the least developed countries (LDCs), like Bangladesh, Haiti, Samoa, Afghanistan, Sudan, Zambia etc. these countries have the instability of agricultural production; the instability of exports of goods and services; the economic importance of non-traditional activities (share of manufacturing and modern services in GDP);

GDP is (gross domestic profit) it represents the income level of the particular country, and it also reflects the economic growth.

The (GDP) measures of national pay and yield for a given nation 's economy. The total national output (GDP) is equivalent to the total consumptions for every last great and administration created inside the nation in a stipulated timeframe. This page gives - Malaysia GDP - real values, chronicled information, estimate, diagram, measurements, monetary logbook and news. Malaysia GDP - real information, verifiable outline, and timetable of discharges – updated in April of 2016.