Aaron and Adam, who are both full-time students, have each been doing work on their own cars. Then Adam decides to hire Aaron to do his oil changes, and in turn, Aaron hires Adam to keep his car clean. As a result of this change, GDP

There are several ways to measure a nation's income, including: Gross domestic product (GDP): A measure of the monetary value of final goods and services produced in a country over a given period of time. GDP is the most commonly used measure of a nation's income. However, it has some limitations, such as not accounting for the costs to human health and the environment from the production and consumption of the nation's output. Gross national income (GNI): A statistic that measures the total value added claimed by residents of a country over a period of time. GNI is made up of GDP plus net... Show more

There are several ways to measure a nation's income, including:
Gross domestic product (GDP): A measure of the monetary value of final goods and services produced in a country over a given period of time. GDP is the most commonly used measure of a nation's income. However, it has some limitations, such as not accounting for the costs to human health and the environment from the production and consumption of the nation's output.
Gross national income (GNI): A statistic that measures the total value added claimed by residents of a country over a period of time. GNI is made up of GDP plus net receipts of primary income from nonresident sources.
Net national income (NNI): An indicator of a country's total economic activity. 

NNI is calculated by:
Subtracting consumption of fixed capital from GDP
Adding factor income received from abroad
Subtracting factor income paid to abroad
Adding subsidies received from abroad
Subtracting subsidies paid to abroad 

Other methods for measuring national income include: Income method, Product/value added method, and Expenditure method.

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