There are a number of ways to measure economic activity of a nation. These methods of measuring economic activity include:
• Consumer spending
• Exchange Rate
• Gross domestic product
• GDP per capital
• GNP
• Stock Market
• Interest Rate
• National Debt
• Rate of Inflation
• Unemployment
• Balance of Trade

Hi

GDP (Gross domestic product) is one of the ways of measuring the size of the country’s economy. It is defined as the total market value of all final goods and services produced within a country in a given period of time.
GDP = C + I + G + (X-M)
C is private consumption in the economy. This includes most personal expenditures of house holds such as food, rent, medical expenses…
I is defined as investments by business or households in capital. Examples of investment by a business include construction of a new mine, purchase of software or purchase of house etc.
G is the sum of government expenditures on final goods and services. It includes salaries of public servants, purchase of weapons for the military and any investment expenditure by a government
X is gross exports
M is gross imports


Thanks