Unit 3.1 · Measuring Economic Activity and Illustrating Its Variations
Nominal Gross National Income (GNI)
AO2AO4
Syllabus Requirement
GNI measures total income earned by a country’s residents, including income from abroad.
Assessment Objectives
AO2Application and Analysis
AO4Use of Appropriate Skills
Summary
Nominal Gross National Income (GNI) is a measure of national output that includes the total income earned by a country's factors of production, regardless of their location. It differs from nominal GDP, which only accounts for the value of goods and services produced within a country. Understanding GNI is important for analyzing a nation's economic performance and income distribution.