If Germans invest in the SA economy by building a new Volkswagen factory, in the future SA GDP will rise by more than SA GNP.

Question

Quizplus · Accepted Answer

When foreign entities invest in a country, it increases the country's GDP as it reflects the total economic output within its borders. However, GNP, which accounts for the income of the country's residents, may not increase as much because the profits from the factory may be repatriated to Germany.

If Germans Invest in the SA Economy by Building a New