GDP information is applied to assess the work of the production sector, the level of economic progress and its pace. The gross domestic product measures the final market price for objects that were produced on the territory of one country during the calendar year.

The volume of production began to count back in the 1930s of the XX century. The structure of national income allocated Simon Blacksmith. The work of an economist attracted the attention of different figures, and in a few years he became the owner of the Nobel Prize.

In modern economy, there is a concept not only GDP, but also GNP. They have a significant difference. In the first case, the calculations are conducted according to territorial features. That is, the gross domestic product takes into account the cash indicators of products regardless of the national affiliation of the enterprise. The main thing is that it is in our country

When calculating the GNP, objects are taken, which are manufactured by national plants, regardless of their location. Until 1991, GNP was a basic criterion in macroeconomic analyst.

If you want to know what GDP is simple words, it is necessary to take into account the cost of everything that is produced in the Russian state. When calculating, not only what is consumed within the state, but also objects running to other countries are taken into account. Not taken into account affiliation by nationality of resources, without which the development of the manufacturing industry is impossible.

Calculation is usually multi-level, so they are engaged in special agencies. When calculating, prices for created new equipment and vehicles, baked bakery products, read lectures in high school cured patients in hospitals and many other things are taken into account.

As a monetary criterion, the inner gross product is expressed in three types:

  • national currency,
  • any foreign currency on the stock exchange rate
  • u.S. dollar.

The latter is mainly used to obtain a comparative characteristic. Evaluation on the exchange rate applies only in case of special needs. Most often, ordinary consumers receive information in national currency.

To understand what GDP is, you need to get acquainted with its views.

He can be:

  • Nominal. This is a combination of prices of goods in different regions of the country or in states marked by market indicators. This species depends on the price index and income. Simple words, nominal GDP in inflation increases due to price increases and decreases when they fall.
  • Real. It takes into account the growth of production without taking into account the financial component. It is expressed in the prices of any year taken for the base. With its calculations, inflation is not taken into account, but it appears the ability to track how serious changes occurred in the economic situation for the year.

GDP per capita

For example, to identify various financial and economic indicators in the state or in a separate subject, an internal gross product per capita is taken into account. The calculation formula is quite simple - GDP is divided into the number of people living in the state. According to the results obtained, comparative characteristics are made with other states.

  • sectoral affiliation of production,
  • the quality of various new products,
  • optimal indicators of energy consumption and raw materials per unit of products.

GDP for PPS

PPS - buying purchasing power, Comparison of two or more monetary units of different states. Similar words, when calculating, special American rating agencies calculate the inner gross product in the cash equivalent. After that, they consider how much you can buy goods and services for the money of this state.

With international comparisons, the UN takes into account about 700 basic goods and services, 250 investment facilities, 15 standard elevation objects. Then the cost of the set of objects of these areas is determined in national currency and when transferring to US dollars at US prices.

What affects GDP?

The inner gross product is one of the main criteria for the state of the economy in the country. If it grows steadily, the economy is developing at the expense of the emergence of new enterprises, an increase in the volume of goods created on the already functioning factories.

The main factors of GDP growth is:

  • attraction to the work of additional resources,
  • an increase in the work of enterprises at the expense of scientific and technical progress,
  • use of relevant and innovative technologies,
  • improving the qualifications of specialists.

An increase in labor resources can be associated both with an increase in the number of residents of the country and with the emergence of more able-bodied citizens. An increase in educational training leads to an increase in the quality of labor. At the same time, the number of industrial structures, cars and other means of labor increases.

It has a significant impact on the GDP and the difference in the actual and potential internal gross product. If the first lags significantly behind, production firms can increase product manufactured at a given price level.

On GDP affect:

  • investment funds
  • physical and human capital,
  • investment in infrastructure and fixed assets,
  • costs.

How is the country's GDP calculated?

Russian GDP is calculated using several methods:

  1. Industrial. Includes value added. When calculating the market assessment is taken on the territory of our country.
  2. Method of use on sources of income. Then the result is the total number of expenses of all economic sectors and pure exports.
  3. Methods of formation by source of income. Such an approach is taken together with others, since not all indicators can be calculated using conventional calculations. The accounting includes revenues that are obtained by state administration authorities.

The following formula is most often used: consumer expenses + gross investment + government spending + (export - import). The measurement of the formula occurs quarterly or once a year. Based on the prevailing factors of the Central Bank and other financial institutions increase or lower growth forecasts.

When calculating it is not taken into account:

  • Labor only on yourself or your family. If a person builds himself a house, repairs an apartment.
  • Works free of charge. For example, friendly help.
  • Monetary equivalent of goods and services that are made in the conditions of the shadow economy.

Under the last concept is understood by the types of activities that are still documented and are not taken into account by various national agencies. The calculation also does not include securities transactions, manipulation affecting the secondary market.


Vladimir Putin at an annual press conference held on December 23, 2016, said that the fall of Russian GDP on the national average will be at the level of 0.5-0.6%. In 2015, this decline was 3.7%. In November 2016 there was a small increase in indicators.

At the same time, on October 17, Dmitry Medvedev said that our country was one of the most difficult periods. It successfully adapted to the fall in hydrocarbon prices and to the development of the economy in terms of sanctions. The decline in the economy of Russia stopped. According to statistics, GDP denominations in Russia in 2016 was equal to $ 1267 billion, and the PPP amounted to 3,745 billion American dollars.

In conclusion, we note that the mayor is noted that there is an increase in investment activity. Therefore, according to forecasts in 2017, GDP will be able to enter the "plus" in the first 4 months, and by the end of the year it is 1.1% by the end of the year.