Question
General Knowledge Question on Economics
GNP (Gross National Product) is the money value of
A
Tangible goods available in the economy
B
Annual service generation in the economy.
C
Final goods and services produced annually within the economy
D
Tangible goods produced annually in the economy
Answer
Final goods and services produced annually within the economy
Explanation
Solution
GNP represents the market value of all final goods and services produced by a nation's residents, including income earned by citizens from investments made overseas, minus the income earned by foreign residents within the country. This makes GNP a broader measure than Gross Domestic Product (GDP), which only accounts for production within a country's borders.
The correct option is (C): Final goods and services produced annually within the economy