Lecture # 10
Does doing the fishes have economic value?
GDP: Market value of all final goods and services produced in a country in a given period of
time. It’s a measure of how much stuff we make.
Gross Domestic Product
• Market Value
• All (all legal merchandize or services)
• Final. Only include the final product.Avoid double counting.
• Goods and services
• Produced in a country. (within the borders of a country)
• Within a period of time. (eliminate used items)
Three Ways to Calculate GDP
• Output (Basic prices)
• Expenditure (Market Prices)
• Income (Market prices)
The difference between GDP at market prices and GDP at basic prices is”