How do we have to adapt the measure of GNP to meet the requirements of sustainability development?
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Answer:
Gross national product (GNP) it is the total money value of goods and services+the money value coming from the foreign countries.
Major requirements to meet the sustainable development are:
1. Scientific and proper use of natural resources
2. No increase in pollution
3. Protecting flora and fauna
4. Maintaining fertility of the land
5. By do not wasting the exhaustible resources.
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Measure of GNP to meet the requirements of sustainability development.
Explanation:
- We have to adapt the measure of GNP to meet the requirements of sustainable development because GNP and its variants like Gross Domestic Product(GDP) and Net National Product(NNP) are necessary for different purposes.
- GDP tells us the total economic activity which involves a monetary transaction in a year.
- It is known that GNP cannot be consumed totally which makes us subtract depreciation and require NNP.
- These are some of the important factors in the country’s economy.
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