What is GDP? | Measuring India's Growth
Gross Domestic Product is the total value of all goods and services produced within a country. Learn how it is calculated and why it matters for UPSC.
Defining GDP
Gross Domestic Product (GDP) represents the monetary value of all final goods and services produced within a country's borders in a specific time period. It serves as a scorecard of a country's economic health.
The Formula
Nominal vs Real GDP
Understanding the difference between Nominal and Real GDP is crucial for any UPSC aspirant.
Nominal GDP
GDP evaluated at current market prices. It includes the effect of inflation.
Real GDP
GDP evaluated at constant base-year prices. It removes the effect of inflation and shows the actual volume of production.
Sector Contributions in India
India's GDP is driven by three main sectors. The shift from an agrarian to a services-led economy is a key theme in Indian economic history.
Agriculture
~18-20% of GDP
Industry
~25-28% of GDP
Services
~53-55% of GDP
View Interactive GDP Trends
See India's growth trajectory over the last decade.