1. What is Gross National Product at Market Price?

Gross National Product at Market Price is an economic measure that calculates the total market value of all goods and services produced by the residents of a country during a specific time.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( \text{GDPfc} \) — Gross Domestic Product at Factor Cost
• \( \text{NFIA} \) — Net Factor Income from Abroad

Explanation: This formula calculates the total national output by adding domestic production and net income from foreign sources.

3. Importance of GNPmp Calculation

Details: GNPmp is a crucial macroeconomic indicator that helps measure a country's economic performance and standard of living, accounting for both domestic production and international income flows.

4. Using the Calculator

Tips: Enter Gross Domestic Product at Factor Cost and Net Factor Income from Abroad values. Both values must be valid numerical inputs.

5. Frequently Asked Questions (FAQ)

Q1: What is the difference between GDP and GNP?
A: GDP measures production within a country's borders, while GNP measures production by a country's residents regardless of location.

Q2: What does Net Factor Income from Abroad include?
A: NFIA includes wages, rents, interest, and profits earned by residents from foreign sources minus similar payments made to foreign residents.

Q3: Why use market price instead of factor cost?
A: Market price includes indirect taxes and excludes subsidies, providing a more comprehensive measure of the final market value of goods and services.

Q4: How often is GNPmp calculated?
A: GNPmp is typically calculated quarterly and annually by national statistical agencies to track economic performance.

Q5: What are the limitations of GNPmp?
A: GNPmp doesn't account for income distribution, environmental costs, or non-market activities, and may not fully reflect economic well-being.