Transcript Gross Domestic Product (GDP)

Presentation on Gross
Domestic Product
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Gross Domestic Product (GDP)
is the market value of all officially
recognized final goods and services
produced within a country in a given
period.
 the main tool for measuring the country's
economy.

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Gross Domestic Product - High
World
69,899,225
1
United States
15,075,675
2
China
7,298,147
3
Japan
5,866,540
4
Germany
3,607,364
5
France
2,778,085
6
Brazil
2,492,907
7
United Kingdom
2,431,310
8
Italy
2,198,732
9
Russia
1,850,401
10
India
1,826,811
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Gross Domestic Product - Low
174
Grenada
819
175
Vanuatu
760
176
Saint Kitts and Nevis
715
177
Saint Vincent and the Grenadines
688
178
Samoa
634
179
Comoros
614
180
Dominica
483
181
Tonga
439
182
São Tomé and Príncipe
248
183
Kiribati
167
184
Tuvalu
36
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Gross National Product (GNP)

The total value of all final goods and services
produced within a nation in a particular year,
plus income earned by its citizens (including
income of those located abroad), minus
income of non-residents located in that
country.

GNP is one measure of the economic
condition of a country, under the assumption
that a higher GNP leads to a higher quality of
living.
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Top GNP Countries
Rank
2011
2010
15,097,083
United States
2009
1
United States
14,648,955
2
China
6,628,086
China
5,717,592
China
4,822,913
3
Japan
5,774,376
Japan
5,359,236
Japan
4,793,538
4
Germany
3,594,303
Germany
3,513,807
Germany
3,472,823
5
France
2,775,664
France
2,745,670
France
2,742,735
6
United Kingdom
2,366,544
United Kingdom
2,373,636
United Kingdom
2,532,124
7
Italy
2,146,998
Italy
2,149,222
Italy
2,141,109
8
Brazil
2,107,628
Brazil
1,859,414
Brazil
1,575,897
9
India
1,746,481
India
1,539,419
Spain
1,469,901
10
Canada
1,570,886
Canada
1,475,865
Canada
1,412,899
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United States
14,135,520
The difference is…
 GDP
defines its scope
according to location
 GNP
defines its scope
according to ownership.
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What is a Multinational Corporation?
is a corporation enterprise that manages
production or delivers services in more
than one country.
 Many countries fight to have MNCs as they
can lead to increased tax revenue,
employment, and economic activity.
 In many cases governments offer MNCs
incentives such as tax breaks, pledges of
governmental assistance or lax
environmental and employment
regulations.

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Multinational Corporations


In the 70’s and 80’s large multinational
corporations (Nike, Adidas, Gap, Ralph
Lauren) started to leave the north for the
south because of labour and
environmental regulations.
Ex: rising minimum wages, and
emissions control laws
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Multinational Corporations
MNCs invested money in the southern
economies, but only invested with the
interest of boosting economic growth,
and not improving social conditions
 Many countries have limited choices.
Either the people accept unfair terms of
employment by the MNCs or the country
tries to borrow more money through the
IMF to help their ailing economies.

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How many do you know?

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