Gross domestic product and gross net product
GDP vs GNP difference explained economics
| Approach | Formula |
|---|---|
| Expenditure | GDP = C + I + G + (X - M) |
| Income | GDP = Wages + Rent + Interest + Profit |
| Production | Sum of value added at each production stage |
GNP = GDP + Net Factor Income from Abroad (NFIA)
| Feature | GDP | GNP |
|---|---|---|
| Focus | Where production happens | Who does the producing |
| Scope | Within national borders | By nationals, worldwide |
| Foreign workers | Included | Excluded |
| Nationals abroad | Excluded | Included |
| Primary use | Measuring economic output of a territory | Measuring economic welfare of a nation's people |
| Usage today | More widely used globally | Still used; US reports both |
According to park text book defintiotm
"Formerly known as GNP or Gross National Product. It is gross income generated from within the country as also net income received from abroad. It is expressed either 'at current prices' i.e., at prices prevailing during the period to which the figure refers, or 'at constant prices'; i.e., at prices prevailing during a fixed base period in the past, irrespective of the period to which the figures refers. Thus figures 'at constant prices' discount the effect of inflation after the base period and measure the changes in real terms."
"GDP is gross income generated within a country, i.e., it excludes net income received from abroad."
"It is the GNP minus the capital we consume (e.g., equipment, machinery, etc.) in the production process. In other words, NNP is the market value of all final goods and services after providing for depreciation."
"It is the gross domestic product minus the value of depreciation on fixed assets."
| Term | Park's Definition |
|---|---|
| GDP at Market Price | GDP at factor cost + indirect taxes - subsidies |
| NNP at Market Price | NNP at factor cost + indirect taxes - subsidies |
| GNP at Market Price | GNP at factor cost + indirect taxes - subsidies |
"These aggregates measure the total volume of national economic activity at current or constant price. By dividing the GNP or GDP by the total population, one arrives at per capita GNP or GDP, which are common general purpose indicators of national wealth. Per capita GNP may thus serve as a general measure of human welfare - that is, of health in a very broad sense."
Create a summary comparison table of GDP vs GNP with Park's definitions
| Feature | GDP (Gross Domestic Product) | GNP / GNI (Gross National Product / Gross National Income) |
|---|---|---|
| Park's Definition | "Gross income generated within a country" | "Gross income generated from within the country as also net income received from abroad" |
| Income from abroad | Excluded | Included |
| Scope | Within the country's borders only | Within the country + net foreign income |
| Modern name | GDP (unchanged) | Now called GNI (formerly GNP) - per World Bank |
| Expression | At current prices or constant prices | At current prices or constant prices |
| Inflation adjustment | Figures at constant prices discount inflation | Figures at constant prices discount inflation |
| Per capita form | Per capita GDP - indicator of national wealth | Per capita GNI (US $) - converted via World Bank Atlas Method (3-year average exchange rate) |
| Net equivalent | NDP = GDP - depreciation on fixed assets | NNP = GNP - capital consumed in production (depreciation) |
| At market price | GDP at factor cost + indirect taxes - subsidies | GNP at factor cost + indirect taxes - subsidies |
| Use in health | Correlated with many health variables | Per capita GNP/GDP = "general measure of human welfare - that is, of health in a very broad sense" |
GNI (GNP) = GDP + Net income received from abroad
NDP = GDP - Depreciation on fixed assets
NNP = GNP - Capital consumed in production
"Countries with a high per capita GNP are predominantly industrially developed, while those with a low one are predominantly agricultural, or developing."
First referral units according to park text
"It has been decided that all the First Referral Units be made operational for providing emergency and essential obstetric care during the second phase of RCH."
"There are three critical determinants of a facility being 'declared' as a FRU. They are: availability of surgical interventions, new-born care and blood storage facility on a 24-hour basis."
| # | Critical Determinant |
|---|---|
| 1 | Surgical interventions (24 hours) |
| 2 | New-born care (24 hours) |
| 3 | Blood storage facility (24 hours) |
| Requirement | Details |
|---|---|
| Bed strength | Minimum 20-30 beds (relaxable to 10-12 in difficult/NE/EAG states) |
| Operation theatre | Fully functional |
| Labour room | Fully functional |
| Newborn care area | Earmarked and equipped in labour room and ward |
| Laboratory | Functional |
| Blood storage | Present |
| Utilities | 24-hour water supply and electricity |
| Waste disposal | Arrangements in place |
| Transport | Ambulance facility |
"The operationalisation of First Referral Unit at sub-district/CHC level for providing EmOC to pregnant women is a crucial strategy of RCH-II, which needs focussed attention."
It is present in which page number
<!-- page: --> marker before the FRU section, which means it begins right at the start of block 7. The block metadata confirms:Page 514 of Park's Textbook of Preventive and Social Medicine