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Explain how gross domestic product is calculated using each of the following: the income approach and...

Explain how gross domestic product is calculated using each of the following: the income approach and the expenditure approach.

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Answer #1

GDP is the final production value of goods and services that is produced within the domestic boundary of a country in a financial year

it is generally measured and quarterly or yearly basis

by expenditure method GDP It is the sum of consumption ,business investment ,government spending and net exports

Where net export is the difference of export and import

the second approach is income approach in which says that GDP is the total income generated by the production of all economic goods and services

it added all the factor of productionWhich includes total national income and net foreign factor income

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