{"id":71332,"date":"2020-12-01T11:31:40","date_gmt":"2020-12-01T06:01:40","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=71332"},"modified":"2020-12-01T11:31:40","modified_gmt":"2020-12-01T06:01:40","slug":"difference-between-gross-vs-net-terms-used-in-economy","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/difference-between-gross-vs-net-terms-used-in-economy\/","title":{"rendered":"Difference between Gross Vs Net Terms used in economy"},"content":{"rendered":"<p><strong>What is the difference between Gross Vs Net Terms used in economy?\u00a0<\/strong><\/p>\n<p><span data-contrast=\"none\">Production factors such as machines, equipment, tools, factory buildings, tractors etc. depreciate over a period of time during the process of production. It may be the case that after certain time these capital goods needs replacement.<\/span><\/p>\n<p><span data-contrast=\"none\">The capital used for the this wear and tear and is not part of any body\u2019s income.<\/span><\/p>\n<p><span data-contrast=\"none\">Thus we subtract depreciation from the gross then the remaining Value is called Net<\/span><\/p>\n<p><span data-contrast=\"none\">Net = Gross &#8211; Depreciation<\/span><\/p>\n<p><span data-contrast=\"none\">For Ex, If we need to calculate Net GDP, then we need to subtract depreciation from the GDP\u00a0<\/span><\/p>\n<p><strong>Net GDP = GDP \u2013 Depreciation<\/strong><\/p>\n<p><strong>Similarly, Net National Product (NNP) = GNP \u2013 depreciation<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>What is the difference between Gross Vs Net Terms used in economy?\u00a0 Production factors such as machines, equipment, tools, factory buildings, tractors etc. depreciate over a period of time during the process of production. It may be the case that after certain time these capital goods needs replacement. The capital used for the this wear&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/difference-between-gross-vs-net-terms-used-in-economy\/\">Continue reading <span class=\"screen-reader-text\">Difference between Gross Vs Net Terms used in economy<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[9],"tags":[],"class_list":["post-71332","post","type-post","status-publish","format-standard","hentry","category-public","entry"],"jetpack_featured_media_url":"","views":{"total":58,"cached_at":""},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/71332","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=71332"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/71332\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=71332"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=71332"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=71332"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}