Westernization and Commoditization — Unit test

Question 13 • GA-GSE World Geography B

How does gross domestic product (GDP) differ from gross national income (GNI)?

Answer

GDP counts the number of citizens in a country, while GNI counts the number of citizens abroad.

GDP measures how happy people are in a country, while GNI measures how happy they are internationally.

GDP is used by NASA to measure eroding coastlines, while GNI is used by the FBI to monitor criminal activity across borders.

GDP measures the money that a country makes in its own land, while GNI measures the money it makes in other countries and at home.

Explanation

GDP measures the value of goods and services produced within a country's borders, regardless of who owns the businesses. GNI measures income earned by the country's residents and businesses, including income from abroad. So choice D is the best answer, although its wording is simplified: GNI is not limited to money made in other countries and at home in exactly the same way as GDP.

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