What is the difference between GDP and GNP deflator real GDP?

The difference between GDP and GNP deflator real GDP lies in the measures they use to calculate economic output.

Gross Domestic Product (GDP) is a measure of the total value of all goods and services produced within a country's borders during a specific time period. It includes the production by both domestic and foreign-owned firms operating within the country.

On the other hand, the GNP deflator real GDP takes into account the Gross National Product (GNP), which measures the total value of all goods and services produced by a country's residents, regardless of their location. The GNP includes the production by domestic firms operating abroad and excludes the production by foreign-owned firms within the country.

The GNP deflator real GDP adjusts the GDP figure to account for changes in the overall price level over time. It is calculated by dividing nominal GDP (which is not adjusted for inflation) by the GNP deflator (which measures the average price level of goods and services produced by a country's residents).

In summary, while GDP measures the total value of goods and services produced within a country's borders, the GNP deflator real GDP takes into account the production by a country's residents, regardless of their location, and adjusts for changes in the overall price level.