Glossary: GDP--(gross domestic product)
DEFINITION:
A value measure of the flow of domestic goods and services produced by an economy over a period of time, such as a year. Only output values of goods for final consumption and intermediate production are assumed to be included in the final prices. GDP is sometimes aggregated and shown at market prices, meaning that indirect taxes and subsidies are included; when these indirect taxes and subsidies have been eliminated, the result is GDP at factor cost. The word gross indicates that deductions for depreciation of physical assets have not been made. Income arising from investments and possessions owned abroad is not included, only domestic production. Hence, the use of the word domestic to distinguish GDP from gross national product (q.v.).