A basic introduction to how to calculate the Gross Domestic Product
The GDP is divided into four major components:
Consumption: Driven by U.S. purchasers
Trade Surplus (Deficit): Exports – Imports
Investment: How much are we investing in businesses/companies
Government Spending: Defense, Social Security, Healthcare etc
This video shows how the current recession has been affected by a contraction in GDP, and where that contraction is.