__________ factors in the value of how much physical capital is worn out, or reduced in value due to aging, over the course of a year. Select the correct answer below: gross national product (GNP) gross domestic product (GDP) national income net national product (NNP)

Respuesta :

Answer:

D. Net National product (NNP)

Explanation:

Net National Product

The NNP is the net market value of a nation’s produced goods and services. It deducts from GNP the capital consumption allowances of the existing capital stock over the course of the accounting period. The production of GNP (a nation's or country's produced goods) causes wear and tear on the existing capital stock, e.g., machines wear out as they are used. Therefore, depreciation is a measure of the part of GNP that has to be set aside to maintain the productive capacity of the economy, and we subtract that from GNP to obtain NNP.

Thus

NNP = GNP - Depreciation