In the last 10 years, accepting a standardised measure for economic status of a country has come under lot of discussion. But, GDP has been accepted by most of the economists as that measure. The GDP of a country is defined as the market value of all final goods and services produced within a country in a given period of time. This does have some pitfalls. For example, Leisure, non-market production, etc., do not come under GDP calculation. Also, some negative(debatable) things do come under calculation of GDP like say higher production of cars in a country would mean higher GDP, but negativities caused due to smoke emission from all the cars is not deducted from GDP.Also, for a state we have accepted SDP as an indicator for health of a state's economy.
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