GNP = GDP + (X-M), where X = Income from foreign and M = Income to Foreign Net National Product (NNP) It is calculated by subtracting depreciation from the Gross National Product. NNP = GNP - Depreciation Get Unlimited Access to Test Series for 810+ Exams and much more. Know More ₹17/ month Buy Testbook Pass Difference between GDP and GNP of India Each of these - GDP, NDP, GNP, NNP - is an attempt to measure the 'size' of an economy. 'Domestic' figures (e.g. GDP) add up all the incomes earned within the nation's border. 'National' figures (e.g. GNP) add up all the incomes earned by a nation's citizens. Here's an example of how how the two figures may differ. I live NNP is one of the important metrics for determining the actual growth of a nation. It measures how much the country is able to consume in a given period of time. Also Check: Gross National Product Difference Between GDP and GNP GNP = GDP + 'Net' factor income from abroad Net Factor income from abroad = income earned by the domestic factors of production employed in the rest of the world - Factor income earned by the factors of production of the rest of the world employed in the domestic economy. For example, in case of India Both the Gross National Product (GNP) and Gross Domestic Product (GDP) measure the market value of products and services produced in the economy. The terms differ in what constitutes an economy since GDP measures the domestic levels of production while GNP measures the level of the output of a country's residents regardless of their location. GNP at Factor Cost = GDP at Factor Cost + Net Income from Abroad - Depreciation; GNP at Market Price = GNP at Factor Cost + Indirect Taxes - Subsidies; NNP (Net National Product) NNP is derived from GNP by subtracting the value of depreciation. What Does Gross National Product Measure? Gross national product is one metric for measuring a nation's economic output. Gross national product is the value of all products and services GNP is the market value of all final goods and services produced by the nationals of a country during a specified period of time usually a year. It follows from this definition that all goods and services produced by the nationals of a country (within or outside) are embodied in the GNP. Gross Domestic Product (GDP): Key points Gross national product, or GNP, includes what is produced domestically and what is produced by domestic labor and National income includes all income earned: wages, profits, rent, and profit income. Net national product, or NNP, is GNP minus depreciation. Depreciation is the process by Introducing the Gross National Product (GNP), an essential economic indicator that captures the total value of a nation's economic output. It offers valuable insights into a country's economic performance, reflecting the combined efforts of its residents, both within and outside its borders. JtgwWg.