7.3

Question 1

GNP (gross national product)

Answer 1

total value of all the goods and services made by a country’s residents and businesses in a specific time period regardless of the country/location in which they were made

Question 2

GDP (gross domestic product)

Answer 2

total value of all goods and services produced within a country over a specific period, regardless of the producer’s national origin

Question 3

GNI (gross national income)

Answer 3

total income of a country’s residents and businesses, including investment income, regardless of where it was earned, as well as money received from abroad such as foreign investments

Question 4

GDP per capita

Answer 4

country’s GDP divided by total population

Question 5

PPP (purchasing power parity)

Answer 5

measures how much a common “basket of goods” costs locally in the currency of each country being compared

Question 6

GII (gender inequality index)

Answer 6

a statistical measure of gender inequality that combines at on reproductive health, empowerment, and labor market participation

Question 7

HDI (human development index)

Answer 7

a statistical measure of human achievement that combines data on life expectancy at birth, education levels, and gross national income per capita

Question 8

informal sector

Answer 8

the part of any economy that is not officially recorded, monitored, or taxed by the government

Question 9

formal sector

Answer 9

the part of the economy that is officially recorded with the government

Question 10

income distribution

Answer 10

how a country’s total GDP is distributed among the individuals in its population