Final answer:
GDP refers to the total value of all goods and services produced within a country's borders, while GNP includes the total value of goods and services produced by a country's citizens, whether they are located within the country or abroad.
Step-by-step explanation:
Gross Domestic Product (GDP) refers to the total value of all goods and services produced within a country's borders during a specific time period. It measures the economic activity within a country and includes the production of both domestic and foreign companies operating within the country.
Gross National Product (GNP), on the other hand, includes the total value of goods and services produced by a country's citizens, whether they are located within the country or abroad. It takes into account the income earned by a country's citizens from economic activities worldwide.
The main difference between GDP and GNP is that GDP measures economic activity within a country's geographic boundaries, while GNP measures economic activity by a country's citizens regardless of where they are located.