Gross Domestic Product (GDP)

GDP measures a nation's economic activity, quantifying the value of goods and services generated within a country over a certain period. It helps economists gauge growth or recession, incorporating various sectors of the economy, including consumer consumption, government expenditures, investments, and net exports. GDP can be calculated using different methods—expenditure approach, income approach, and production approach—all designed to give the same result. It is a critical metric for economic analysis and policymaking.