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GDP Calculator — Expenditure & Income Approaches

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Expenditure approach

GDP = C + I + G + (X − M)

Personal Consumption (C)

Gross Investment (I)

Government Consumption (G)

Exports (X)

Imports (M)

Resource Cost–Income approach

GNP = Compensation + Proprietors’ Income + Rental Income + Corporate Profits + Net Interest
GDP = GNP + Indirect Business Taxes + Depreciation + Net Income of Foreigners

Employee Compensation

Proprietors’ Income

Rental Income

Corporate Profits

Net Interest

Indirect Business Taxes

Depreciation

Net Income of Foreigners

Results

Tip: Use the same currency & scale across all inputs. The “statistical discrepancy” is the difference between the two methods due to measurement/timing.

GDP: Frequently Asked Questions

What is the Expenditure approach?

It totals spending on final goods and services: GDP = C + I + G + (X − M).

What is the Resource Cost–Income approach?

It aggregates incomes from production (compensation, proprietors’ income, rental income, corporate profits, and net interest) and includes adjustments like indirect business taxes, depreciation, and net income of foreigners to reconcile with GDP.

Should both methods match?

Conceptually yes—spending equals income. Small differences may appear due to measurement and timing.

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