The GDP calculated by the production method is calculated from the perspective of the added value of each department during the accounting period. GDP= total output of each department-intermediate consumption of each department = added value of each department, where the total output is product output × unit price, and intermediate consumption is like regular maintenance and repair of production equipment.
Extended data:
Importance of GDP data
GDP reflects the economic strength and market size of a country or region. If the GDP index fluctuates greatly, it will have an impact on the economy. The actual changes can be accurately reflected by the GDP contraction index and adjusted in time, which plays a decisive role in observing the national economic situation.
On the other hand, permanent units occupy the position of the center of economic interests in a country's economic map and stipulate the main scope of a country's economy. Therefore, studying the achievements and value of permanent residence units plays an important role in understanding the boundaries and trading scope of foreign GDP.