What GDP is and what role it has

GDP per capita is mainly used to measure the standard of living, because GDP reflects the abundance of commodities in society, so that per capita can be simply regarded as personal living standards (for example, 10 people in country A have produced 10,000 and 1,000 per capita, and 2 people in country B have produced 8,000 and 4,000 per capita, but although country B is not as rich as country A, people in country B may live better).

1. GDP is an important comprehensive statistical indicator in the accounting system, and it is also the core indicator in China's new national accounting system. It reflects the economic strength and market size of a country (or region).

2. GDP is an indicator that reflects the results of the production activities of permanent resident units. A resident unit is an economic unit that has a centre of economic interests within the economic territory of a country.

GDP is usually defined as the total value of all final goods and markets for the provision of services produced in the economy of a country or region. GDP is the sum of the market** of all the final products produced by a country in a year.

In economics, GDP is often used as a general indicator to measure the comprehensive level of economic development of a country or region, which is also a common measurement method used by various countries and regions. GDP is the most concerned economic statistic in the macroeconomy, because it is considered to be the most important indicator to measure the development of the national economy.

There are several ways to calculate GDP:

The production method is a method of calculating the gross domestic product from the perspective of production, deducting the value of intermediate products input in the production process from the total value of products and services produced and provided by various sectors of the national economy in a certain period of time, so as to obtain the added value of each sector, and the sum of the added value of each sector is the gross domestic product.

The second is the input method, which is a method for calculating GP from the perspective of income creation by various factors of production in the production process. That is, the value added of each resident unit is equal to the sum of the remuneration of workers, the depreciation of fixed assets, the net amount of production tax and the business English, which is also called the initial input value in input-output. The sum of the value added per unit of length is GDP.

The third is the expenditure method, which is a method of calculating GDP and where it is used from the perspective of final use. The final use of GDP consists of three parts: gross final consumption capital formation of goods and services, and imports and exports.

From the point of view of production, it is equal to the sum of the value added of each sector, from the point of view of income, it is equal to the sum of depreciation of fixed assets, remuneration of workers, net production tax and operating surplus, and from the point of view of use, it is equal to the sum of total consumption, total investment and net exports.

Every country in the world today has economic growth that is of great concern, because without proper economic growth, there will be no economic prosperity and no improvement in the living standards of the people. For example, Western countries believe that China is rich and strong because of its rapid GDP growth, compared to other world powers. In terms of total economic GDP, China is already among the top two in the world.

GDP is an irreplaceable indicator to measure the total amount of national wealth at present, and China has always been ranked among the most developed countries in the world in ancient society and agricultural society. Since the middle of the Qing Dynasty, the dust has lagged behind in the wave of the industrial revolution, and at the beginning of the 20th century, China's total GDP ranked in the bottom 20 in the world. Now it has finally risen to the second place in the world, which shows that China's national strength has increased.

China is still a developing country, and its per capita GDP is not only 110 of Japan's, but even less than half of the world average, while Japan's development, for example, is relatively balanced between urban and rural areas and between economic and social development, while the problem of unbalanced development in China is prominent, and the gap is quite large.

GDP is very important for any country, but GDP growth cannot be blindly worshipped. Growth without development, false and ineffective growth, growth in short-term behavior, unsustainable growth and growth with structural imbalances will all undermine socio-economic harmony and development.

1. GDP is the GDP of the Yuanyuan, and it is a market for all the final products and clothes produced by all the permanent units of the country in a certain period of time. GDP is the core indicator of national accounts and an important indicator to measure the overall economic condition of a country or region.

2. This value represents the total economic volume within the national territory, for example: a domestic factory produces 500 computers, worth 1.5 million, deducting 300,000 raw materials imported from other places, then the GDP is 1.2 million.

GDP refers to the market value of all final products (goods and services) produced by an economy and society (a country or a region) using factors of production in a certain period of time. Interest on government bonds is not included in GDP because purchases can also be divided into consumption and investment. The interest on the public debt is a transfer payment of the first generation, which is not involved in production, not created by production, but only transfers a part of the money from the first to the creditor, and the interest on the public debt is credited to personal income.

Personal income includes the transfers that people receive from the government and the personal income after deducting taxes and fees.

That is, the abbreviation of English (grossdomesticproduct), which is also the gross domestic product. At present, it is a common indicator used by various countries and regions to measure the comprehensive level of economic development of the country or region.

Definition: The total value of the final goods produced and the market value of the services rendered in a given country. Note:

A certain period generally refers to the period of annual statistics; The final product is distinguished from the intermediate product; Labor service is also a service product. The market value is the monetary value of the year.