The economy

GDP (Gross Domestic Product)

The total value of everything a country produces in a period, usually measured each quarter and each year.

Why does it matter?

It is the broadest measure of how a country's economy is doing, and it affects how much people and businesses spend.

How do I read it?

GDP growth is usually reported after removing inflation. The stock market and GDP don't always move together: prices react to expectations, and many large companies earn a lot abroad.

Example

If a country's GDP, after removing inflation, was $25 trillion last year and $25.5 trillion this year, its economy grew 2%.