Calculate the gross domestic product of your country. Enter the consumption, investment, government purchase, exports, and imports to determine the GDP of your country.

## GDP Formula

The following formula is used to calculate the GDP of a country.

GDP = NE + I + GP + C

- Where GDP is the gross domestic product
- NE is the net exports
- I is the total investments
- GP is the government purchases
- C is the total consumption

## GDP Definition

GDP is a measure of the aggregate domestic output of a country. It’s often used as an economical indicator to determine the overall strength of an economy in a given year. It’s a measure of the value of all of the final goods and services produced in that time frame. It also takes into account total expenditures on goods purchases from other counties.

## How to Calculate GDP

The following components are summed together to calculate the GPD of a country.

- Net exports
- This is equal to the total exports – the total imports

- Investment
- The total amount of money spent on investments

- Government Purchases
- Total amount spent on goods by the government

- Consumption
- The total spent on goods and services everywhere else

The calculator above sums all of these values to produce the total gross domestic output of a country.

## Real GDP vs Nominal GDP

The calculator above determines the nominal GDP of a country, but typically the real GDP is considered more important. The real GDP is a measure of gross domestic product that has been adjusted for inflation. The importance of this is that the GDP of a country can skyrocket under heavy inflation, but that does not mean that the economy is doing well. As a result, many economists prefer real GPD to nominal.