National Accounts

Question 1

Gross Domestic Product

Answer 1

GDP: the total value of all final goods and services produced within the borders of a country within a specific time period usually one year.

Question 2

Change in inventories

Answer 2

the amount by which the value of the inventory has changed

Question 3

Gross Capital Formation

Answer 3

total investment in physical assets during a specific time period.

Question 4

Residual Items

Answer 4

Balancing figures used in national accounts to correct any discrepancies when data is incomplete or inconsistent

Question 5

Basic prices

Answer 5

The initial prices in the production of final goods and services - before considering any taxes and subsidies on products.

Question 6

Economic growth

Answer 6

change in real GDP from one period to the next

Question 7

Gross National Product

Answer 7

The value of all final goods and services produced by citizens of a country regardless of location within a certain time period, usually one year.