how do we count the various goods and services and know the total production in each sector?

Dear student,

Please find below the solution to the asked query.

The following points may help you-

• The various goods and services are counted on the basis of the value of each good or services not on the basis of actual numbers.
• The value here is referred to the value of final goods and services not the value of intermediate goods.
• It is understood that the value of final goods already includes the value of all intermediate goods that are used in making the final goods.
• The total production of each sector is calculated by adding the value of all final goods and services of the sector in a year.
• The total production of all the three sectors with in a country is known as Gross domestic product of the country.