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GDP of domestic and foreign economic activities of a country

Economics Asked on July 23, 2021

Is there an indicator which shows how much GDP of a country is generated by domestic economic activities (e.g. business between food production in Germany and agriculture in Germany) and how much GDP is generated by economic activities of that country with foreign countries (e.g. business between food production in Germany and agriculture in Brazil)?

One Answer

You can calculate domestic economic activity by calculating GDP and subtracting net exports. Any activity that requires dealings with foreign country will be recorded as either export or import. Once you subtract exports and imports from GDP you are left just with domestic activity.

Answered by csilvia on July 23, 2021

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