| Gross Domestic Product (GDP) |
Total monetary value of all final goods & services produced within a country’s borders in a period. |
GDP = C + I + G + (X – M) (Consumption + Investment + Government spending + Net exports) |
In ₹ billions; can be nominal or real (inflation‑adjusted). |
| Gross National Product (GNP) |
Total value of goods & services produced by a country’s residents (domestic & abroad). |
GNP = GDP + (Income earned abroad – Income paid abroad) |
Includes remittances. |
| Net Domestic Product (NDP) |
GDP minus depreciation (capital consumption). |
NDP = GDP – Depreciation |
Depreciation = wear & tear on capital assets. |
| Net National Product (NNP) |
NDP minus net factor income from abroad. |
NNP = NDP – (Income paid abroad – Income earned abroad) |
Equivalent to NDP + net factor income. |
| Consumer Price Index (CPI) |
Weighted average price of a basket of consumer goods & services. |
CPI = (Cost of basket in current year ÷ Cost of basket in base year) × 100 |
Basis: 100 in a chosen base year. |
| Wholesale Price Index (WPI) |
Weighted average price of selected goods at the wholesale level. |
Same formula as CPI but with wholesale goods. |
CPI > WPI for consumer‑driven inflation. |
| Inflation Rate |
Year‑on‑year percentage change in price level. |
Inflation (%) = [(CPI₂ – CPI₁)/CPI₁] × 100 |
Usually measured on a month‑to‑month or year‑on‑year basis. |
| Deflation |
Negative inflation – falling price levels. |
Same formula; result < 0. |
Rare but can signal deep recession. |
| Recession |
Two successive quarters of negative GDP growth. |
Recession if GDP growth < 0 for ≥2 quarters |
Triggers fiscal stimulus. |
| Economic Growth Rate |
Percentage change in real GDP. |
Growth (%) = [(GDP₂ – GDP₁)/GDP₁] × 100 |
Real GDP removes inflation effect. |