Question

The GNP gap is the gap between:
A. GNP and NNP_
C. GNP and GDP
B. GNP and Depreciation
D. Potential and actual GNP​​

Answer 1

Answer:

C. GNP and GDP okkkkkkkkk

Answer 2

The GNP gap is the gap between the potential and actual GNP​​.

• GNP gap expresses the absolute difference between the actual real GNP and the potential real GNP.
• The actual GNP represents the optimal level of significant production that an economy is actually generating. It may or may be inequitable to the potential GNP of a country.
• The effective level is accurately determined by the possible GNP interaction and the aggregate demand. The specific case, where the apparent gap is negative, it is stated that the functional economy is overheated.