GDP Income Approach

Income that comes from the ownership of land.

• Wages

• Rent

• Interest

• Profit

Income generated by firms operating in the country.

• Wages

• Rent

• Interest

• Profit

Income generated by the labor force. It can come from jobs or self-employment

• Wages

• Rent

• Interest

• Profit

SWAK or WHACK: Total National Tax is the sum of all wages, rent, interest, and profits earned by members of the economy in a given period of time.

In a given year, the economy has 20 barbers who earn ₱ 180,000 each, with 11 of them earning additional income through the rental of apartment units they own which amounts to ₱ 100,000 each and the rest is ₱ 90,000 each. The economy also has 4 spa shops who report profits of ₱ 410,000 each. What is the GDP of the economy for that year?

In a given year, the economy has 18 security guards who earn ₱ 120,000 each, and 12 sales ladies who earn ₱ 80,000 each. 5 of the guards earn additional income through the rental of boarding houses which amount to ₱ 70,000 each and 4 sales ladies earn ₱ 65,000 each through house rental. The economy also has 2 malls who report profits of ₱ 900,000 each. What is the GDP of the economy for that year?