Question

In Angola in 2004, GNI is much less than GDP. Angola is an oil-exporting country. What is a plausible relationship between these two facts

Answer 1

Answer:

The GDP includes the value of all the final goods and services produced in a country, while the GNI includes the value of all the final goods and services produced by the citizens of a country, regardless of where they are located.

Angola's GDP is higher than its GNI because many foreign companies must produce oil, and that increases GDP but is not included in the GNI).