What is GDP? | CNBC Explains 

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Basics very well explained! Two elements I would like to mention: GDP does not take the quality of goods and services into account. Neither steady qualitative growth. Somebody buying a computer or booking a flight for $2000 in the 80s contributed much more to GDP than doing the same today for say $500, despite the flight being safer today, the computer much faster and capable today. GDP is a raw number associated with times of scarcity and the 'quantitative growth mantra'. Abundance in rich societies changes its relevance - GDP can be totally misleading when discussing what people really want. This should not come as a surprise, since in most important aspects of life the middle class lives better today, than even a king 500 years ago.

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You're welcome, I'm glad that you enjoyed it.

GDP is "G," "D," "P," (G ÷ P) × D = weath or GDP=weath. GDP is a math formula. The "G" is the labor excomponent in the math formula GDP. (G ÷ P) × D That G is gross labor. Total hours worked. That D is us. The total population. That P is capital. The total labor of the total population is building the total capital. GDP A currency exchange between the "P" or capital is another topic of the math formula of inflation.

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@@munasuleman4996 muna youre not even english.why so serious?

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Product placement probably

Sight...!!!!!!!

And they live till 70, that’s awful

Without happiness and peace, GDP is just meaningless

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and rapidly declining

@@admindadipancar5494 Happiness can't feed your stomach!

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De U GDP nominal is the gross domestic product produced by the citizens only of a nation, regardless of whether the citizens of that nation is located abroad or not. While PPP is price purchasing power, indicating the ability to purchase a good or service in your nation traded with your nation’s currency. hope it helps !! :)

@@ausgaporetan8512 very wrong... PPP is parity of value of product consumed within a year with respect to inflation of that country. For example the cost of hair cut in USA would be 9 $ while in India it would be 1.5$. So when calculating Nominal GDP 9$ will be added to USA economy and 1.5$ will be added into Indian economy. Nominal largely depend od exchange rate of dollar. While in PPP the value of product is calculated in local currency.

@@ausgaporetan8512 In short Nominal largely depend upon stock exchange, value of dollar to local currency ration. If country has weaker currency the nominal will be low

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Umar The most important measurement is GDP PPP Per capita

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69 likes

Glad it was helpful!

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Lol

K

Always find a guy who will always diss the US...but at the same time watch Hollywood movies... hypocrite...

@Shahzad Ali- still hypocrisy, he hates them but he watches their content... clearly he watches Hollywood film and hates USA...because I Doxx when someone pisses me off on the internet...so careful...

@Shahzad Ali - Oh, Your a Pakistani, did the USA loot oil in your country?

If you're talking about the black market then yes GDP is flawed from that and also from household sales such as handicrafts sold without a registered business and sold among friends and family.

In the US, Government salaries are counted in the GDP

Right. I wasted a week in School but didn't understand this. But here just 4 minutes is enough. Now Video has become a better and more effective medium for learning in short time. You truly read my mind!