Difference Between GNP, GDP and GNI

GNP and GDP both reflect the national output and income of an
economy. The main difference is that GNP (Gross National Product)
takes into account net income receipts from abroad.
GDP (Gross Domestic Product) is a measure of national income /
national output and national expenditure produce in a particular
country.
GNP = GDP + Net property income from abroad. This net income
from abroad includes, dividends , interest and profit.
GNP includes the value of all goods and services produced by
nationals whether in the country or not.
Example of GNP
If a Japanese multinational produces cars in the UK. This production
will be counted towards UK GDP. However, if the Japanese firm
sends 50m in profits back to shareholders in Japan. Then this
outflow of profit is subtracted from GNP. UK nationals dont benefit
from this profit.

If a UK firms makes profit from insurance companies located abroad,

then if this profit is sent back to UK nationals, then this net income
from oversees assets will be added to GNP.
Note if a Japanese firm invests in the UK, it will still lead to higher
GNP, as some national workers will see higher wages. However, the
increase in GNP will not be as great as GDP.
If a county has similar inflows and outflows of income from assets,
then GNP and GDP will be very similar.
However, if a country has many multinationals who repatriate
income from local production, then GNP will be lower than GDP.
For example, Luxembourg has a GDP of $87,400 but a GNP of only
$45,360.
A country like Ireland has received significant foreign investment.
Therefore for Ireland, there is a net outflow of income from the
profits of these multinationals. Therefore, Irish GNP is lower than
GDP.

GNI
GNI (Gross national Income) is based on a similar principle to GNP.
The World Bank define GNI as
GNI is the sum of value added by all resident producers plus any
product taxes (minus subsidies) not included in the valuation of
output plus net receipts of primary income (compensation of
employees and property income) from abroad. (World Bank)
The World Bank now use GNI rather than GNP.

This shows a small net income from abroad so the GNI 715,028m
is greater than GDP (713,980)
Real GDP Per Capita
Tejvan Pettinger November 28, 2012
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Real GDP per Capita Definition

GDP, Gross Domestic Product measures the national output of an

economy. This measures the volume of goods and services produced
in a given year.
Real GDP takes into account inflation. In other words Real GDP
measures the actual increase in goods and services and excludes
the impact of rising prices.
Real GDP per capita takes into account the average GDP per person
in the economy.