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GLOBAL ECONOMICS FOR MANAGERS

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Term
Definition
purchasing power parity (PPP)   A conversion that determines the equivalent amount of goods and services that different currencies can purchase.  
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Foreign Direct Investment (FDI)   Investment in, controlling, and managing value-added activities in other countries.  
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Gross Domestic Product (GDP)   The sum of value added by resident firms, households, and governments operating in an economy.  
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Gross National Product (GNP)   GDP plus income from non-resident sources abroad.  
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Gross National Income (GNI)   GDP plus income from non-resident sources abroad. GNI is the term used by the World Bank and other international organizations to supersede the term GNP.  
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