- Created by: crinparker
- Created on: 12-11-18 11:56
GDP stands for "Gross Domestic Product"
Calculated by adding up the value of all of the goods and services we buy in a quarter (3 months) or in a year.
Say a baker buys wheat and flour to make bread, the cost of those raw materials is included in the final price of the bread we buy.
The price of that bread, along with the price of everything we buy (fuel, electronics, clothing etc) is added to what the government spend on public services (like education and health)
This creates the final number for GDP