After studying this chapter, you should be able to understand:
- GNP is a measure of the value of goods and services, which the nationals or residents of the country produce regardless of where they are located.
- GDP is the total value of all the final goods and services produced by all the enterprises within the domestic territory of a country in a particular year.
- Personal income is the income received by households and the non-corporate businesses.
- Disposable personal income is the amount, which is actually available to the households and to the non-corporate business after they have fulfilled their tax obligations to the government.
- GDP is one of the most important macroeconomic variables and one of the best measures ...