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2.1. Basic Terminology The aggregate output of a nation over a specified time period is usually measured as its gross domestic product or its gross national product.
Gross domestic product (GDP) measures the market value of all final goods and services produced by factors of production (such as labor and capital) located within a country/economy during a given period of time, generally a year or a quarter.
Gross national product (GNP), however, measures the market value of all final goods and services produced by factors of production (such as labor and capital) supplied by res
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