Question

Distinguish between Gross Domestic Product at Market Price and Net Domestic Product at Market Price.

Answer 1

	Gross Domestic Product at Market Price	Net Domestic Product at Market Price
1.	GDP is the market value of all final goods and services produced within a domestic territory of a country measured in a year.	This measure allows policy-makers to estimate how much the country has to spend just to maintain their current GDP. If the country is not able to replace the capital stock lost through depreciation, then GDP will fall.
2.	GDPMP = C + I + G + X - M	NDPMP = GDPMP - Dep.