How is GDP of India calculated?

How is GDP of India calculated?

The folllowing equation is used to calculate GDP: GDP=Private consumption+ gross investment + government investment + government spending + (exports – imports) The GDP deflator remains extremely important as it measures price inflation. It is calculated by dividing Nominal GDP by Real GDP and then multiplying by 100.

What GDP means?

Gross Domestic ProductGross Domestic Product (GDP) is the broadest quantitative measure of a nation's total economic activity. More specifically, GDP represents the monetary value of all goods and services produced within a nation's geographic borders over a specified period of time.

How do you calculate GDP at market price?

Formula: GDP (gross domestic product) at market price = value of output in an economy in the particular year – intermediate consumption at factor cost = GDP at market price – depreciation + NFIA (net factor income from abroad) – net indirect taxes.