What does Gross Domestic Product (GDP) represent in an economy?

Gross Domestic Product, or GDP, is a way to measure the total value of all goods and services produced in a country over a specific time, usually a year. It helps us understand how well an economy is doing by showing the overall economic activity and growth. For example, if a country produces cars, food, and clothing, the GDP adds up the value of all these products and services to give a complete picture of economic health. A rising GDP often means the economy is growing, while a falling GDP can indicate problems. By comparing GDP between different countries, we can see which economies are larger or performing better.