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What is GTP?
GNP = Gross National Product

Gross Domestic Product and Gross National Product are two related but different indicators. They are both aggregate indicators that account for the results of social production and reflect the macroeconomy. However, they are different because of the different caliber of calculation.

Gross domestic product (GDP) is an indicator that reflects the productive activities of all resident units in a country or region. The so-called resident units are economic units centered on economic interests within the economic territory of a country. By productive activity, we mean all industries and sectors, including the third sector. In the form of value, it is equal to the sum of value added generated by all sectors of the national economy.

Gross national product (GNP) is the total value of raw income actually received by all resident units of a country or region during a given period of time (referring to compensation of laborers, net taxes on production, depreciation of fixed assets, and operating surplus, etc.). . Income earned by domestic residents from investment or work abroad (known as factor income from abroad) is included in GNP. However, the income of non-nationals of the country who invest or work within the country (known as factor income paid abroad) should not be included in the country's GNP. Thus, Gross National Product (GNP) can be calculated by adding Gross Domestic Product (GDP) to net factor income from abroad (factor income from abroad - factor income paid abroad). More intuitively, GNP equals GDP plus the net amount of labor compensation and investment income (including dividends, bonuses, interest, etc.). Obtained from abroad. i.e.:GNP = GDP + net factor income from abroad. GNP is the concept of "income".

The main difference between GDP and GNP is that GDP emphasizes the value added created, which is the concept of "production", while GNP emphasizes the raw income received. Generally speaking, the difference between the Gross National Product (GNP) and the Gross Domestic Product (GDP) of each country is small, but if a country has a lot of investment abroad and a lot of workers, then the country's GNP tends to be larger than its GDP.