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What is 'Gross Domestic Product - GDP'. Gross domestic product (GDP) is the monetary value of all the finished goods and services produced within a country's borders in a specific time period. Though GDP is usually calculated on an annual basis, it can be calculated on a quarterly basis as well.
GDP has a price and quantity component. If the price level doubles with the same amount of output produced, then the nominal GDP also doubles but real national GDP remains unchanged. real GDP. is nominal GDP adjusted for inflation ie current output valued at constant prices.