GDP Differs from GNP Because

question 59

Multiple Choice

GDP differs from GNP because

• A)GDP = GNP - net factor payments from abroad.
• B)GNP = GDP - net factor payments from abroad.
• C)GDP = GNP - capital consumption allowances.
• D)GNP = GDP - capital consumption allowances.

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Definitions:

Aid Agency

An organization, often part of the government or non-profit sector, dedicated to providing financial or logistical support to countries or individuals in need.

Multilateral Aid Agency

An organization that provides support or resources to developing countries, funded by multiple government or institutional donors.

Income Pyramid

Refers to the distribution of income among different tiers of an economy, often visualized as a pyramid to show the proportion of the population earning various income levels.

Profitable Clients

Clients that generate more revenue for a business than the costs associated with serving them.