What is the difference between GDP and GNP? Which is a more accurate measure of local income and why?
I understand the difference between GDP and GNP however, I am unsure on how to answer the second question as to which one is more accurate with regards to local income and why.
Thank you for your help!
As you know, GDP measures the goods and services produced within the territorial boundaries of a country. GNP, on the other hand, measures the income of all the ...
This solution discusses whether GDP or GNP is a better measure of local income and why this is so.