What's the difference between GNP and GDP?

Question

Quizplus · Accepted Answer

GDP includes all goods and services produced within a country's borders, regardless of who owns the resources or where the profits go. GNP, on the other hand, includes the value of all goods and services produced by a country's residents and businesses, regardless of their location. However, GNP also deducts the payments made to foreign nationals and companies who own resources within the country, and adds payments made to residents and businesses who own resources in other countries. Therefore, GDP includes receipts from the rest of the world and subtracts payments to the rest of the world, while GNP includes receipts from the rest of the world and adds payments to the rest of the world.

What's the Difference Between GNP and GDP