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Question
Distinguish between:
Net national product and Net domestic product.
Solution
| Basis | Net National Product (NNP) | Net Domestic Product (NDP) |
| 1. Definition | Net National Product refers to the value of all the final goods and services produced by the normal residents of a country both within the domestic territory as well as outside the country. | Net Domestic Product refers to the total market value of all the final goods and services produced within the domestic territory by normal residents as well as non-residents. |
| 2. Net factor Income from abroad | It includes the net factor income from abroad. | It excludes the net factor income from abroad. |
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