Answer:
see below
Explanation:
GDP is the value of all commodities and services produced within a country's border, in a particular period. Only finished consumer products and services are considered in calculating GDP.
The GDP value is important because
1. GDP reports the state of a country's economy
An increase in GDP indicates growth in the economy. Growth in real GDP value signifies a health economy that creates adequate job opportunities, increasing incomes, and a wealthier nation. A decline in GDP communicates a recession that requires government
intervention.
2. For investment decisions
Investors use GDP as a reference point when making investment decisions. Declining GDP value indicates bad economic conditions, which will result in lower earnings and reduced stock prices. Increasing GDP value is associated with good returns and higher stock prices.
