Real Gross Domestic Income

Gross Domestic Income (GDI) offers a distinct approach to evaluating the nation's economic performance. Instead of focusing on output, like Gross Domestic Product (GDP), GDI tallies the total incomes earned and expenses incurred during production. Theoretically, GDI and GDP should match, as they are two sides of the same economic activity. However, discrepancies arise due to variations in the source data used for each measure. This variance is termed the "statistical discrepancy." The Bureau of Economic Analysis (BEA) generally regards GDP as a more reliable indicator, given its foundation on more current and comprehensive data.