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The difference between GNP and NNP equal...

The difference between GNP and NNP equals

A

corporate profits

B

personal taxes

C

transfer payments

D

depreciation

Text Solution

Verified by Experts

The correct Answer is:
D
Gross National Product (GNP) is the gross value of all the final products without deducting the depreciation of fixed capital. Net National Product (NNP) is the value of net output in an economy during a period of one year. The difference between the GNP and NNP is equal to Capital depreciation.
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