does an increase in GNP always imply that the economy is better off? explain in terms of the components of GNP

Answer 1

Well, GDP is the sum of consumption, investment, and net exports. Consumption is an immediate economic benefit, investment is (in expectation, at least) a future economic benefit, so when these two increase, you could say that the economy is better off. Net exports, however, are different. Increase in net exports alone does not mean any increase in domestic consulmtion or domestic investment...

Answer 2

To be better off GDP growth must be more than population growth and labor force growth.