Net output: Difference between revisions

Revision as of 18:30, 24 July 2011

Revision as of 18:38, 24 July 2011

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{{Unreferenced|date=December 2009}}

'''Net output''' is an accounting concept used in [[national accounts]] such as the [[United Nations System of National Accounts (UNSNA)]] and the [[NIPA]]s, and sometimes in corporate or government accounts. The concept was originally invented to measure the total net addition to a country's stock of wealth created by production during an accounting interval. The concept of net output is basically "gross revenue from production ''less'' the value of goods and services ''used up'' in that production". The idea is that if one deducts intermediate expenditures from the annual flow of income generated by production, one obtains a measure of the net new value ofin the new products created.

==Definition==