Does the food that farmers produce and consume for themselves count towards GDP? 5

Updated on Three rural 2024-03-15
5 answers
  1. Anonymous users2024-02-06

    Not counted, self-sufficiency is not counted in GDP.

    1. GDP is a concept of market value. The market value of the various final products is the value of the exchange reached in the market, which is measured in money and embodied through market exchange. The market value of a product is obtained by multiplying the unit price of this final product by its production.

    2. GDP generally refers only to the value resulting from market activities. Non-productive activities, as well as underground and black market transactions, such as domestic work, subsistence production, gambling and illegal drug trade, are not included in the GDP.

    3. GDP is the value of the final product produced during the calculation period, and therefore the flow rather than the stock.

    Gross Domestic Product (GDP=gross domestic product) refers to the market value of all final goods and services produced by all resident units in a country (within national borders) during a certain period of time. GDP is the core indicator of national accounts and an important indicator to measure the overall economic status of a country or region.

  2. Anonymous users2024-02-05

    Wrong. It's like a product, it has to be a producer and then it has to be exchanged, and both of these things have to be achieved before they can be commodified. The peasant is indeed a producer, but he does not exchange it, so he cannot become a commodity.

  3. Anonymous users2024-02-04

    I think it should be counted.

    There are two processes involved here: the growing is the production process. Eating is the process of consumption.

    Food produced by the farmers themselves.

    GDP = total output - intermediate inputs calculated by the production method, which describes the production process, not the consumption process.

    The consumption process of eating is not included in the production process of growing food. The food eaten is the final consumption, not the "intermediate input" in the production process.

  4. Anonymous users2024-02-03

    Many years ago, when China was still a major agricultural country, the output of agricultural products was included in GDP through the collection of data by rural base point investigators, and every farmer participated at that time. But now the agricultural products are all operated by companies on a large scale, and only a few farmers are self-sufficient.

  5. Anonymous users2024-02-02

    The example you gave is very inappropriate, the current workwear is purchased jointly by the company and the employee, the company subsidizes a part, and the employee pays the rest, and the total amount paid by the two is the final market value of the workwear, which should be included in GDP (assuming that the workwear is produced in the current year and is no longer resold in that year).

    Question 1: The final product is relative to the intermediate product, the so-called intermediate product is the product used as the raw material for the production of the final product, for example, you will understand, the farmer harvests cotton and sells it to the textile factory, the textile factory weaves the cotton into cloth and sells it to the garment factory, and the garment factory makes the cloth into clothes, of which cotton and cloth are intermediate products, and clothes are the final products.

    Question 2: It shouldn't be difficult to understand my explanation above. Or the above example, the fabric of the textile mill was not sold, then of course these fabrics became the final products of the year, they were all produced in the year, should not be included in the GDP of the year

    Question 3: I think you should be able to figure out this question yourself, intermediate goods are also produced, but if it continues to participate in the production of the final product, of course it does not belong to the final product.

    Feel free to ask.

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