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A measure of GNP as the sum of all factor payments is obtained by summing all the incomes in the economy. The income people receive takes one or more of the following forms:
- Income from employment (wages, salaries, and bonuses)
- Income from savings (interest and dividends)
- Income from property rental (rents)
- Income from owning and running a business (profits)
The sum of all these incomes gives the GNP:
GNP = Wages + Interest + Rent + Profits
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