Gross Domestic Product is one of the most efficient and effective tools that is used to measure the economic activity of a nation. The gross domestic product measures the final total market value of all finished goods and services produced within the borders of a nation. Unlike the Gross National Product (GNP), GDP doesn’t measure goods and services that are produced outside a nation’s border. GDP can be measured by two methods, the first method is income approach and the second is the expenditure approach.
