What is the concept of Gross Domestic Product (GDP)?

Gross Domestic Product (GDP) is a measure of a country’s total economic output, representing the value of all goods and services produced within its borders during a specific period, typically a year or a quarter. It is a key indicator used to assess the economic performance and health of a nation. GDP can be measured using three approaches: production, income, and expenditure. A growing GDP is often seen as a sign of economic expansion, while a declining GDP can signal a recession. GDP is also used to compare the economic performance of different countries or regions.