In my opinion the GDP is not as effective and efficient as some of the other indicators used in today's society. The difference between GNP and GDP is in income from foreign sources. GNP includes the value of goods and services made by U.S., however the GDP measures the value of goods and services produced only within the boundaries of the U.S. GDP includes only goods and services produced within the geographic boundaries of the U.S., so this is not as effective as other tools such as GNP. GNP includes goods and services produced by U.S. bussinesses operating in outside countries. The GDP has both pros and cons, but the GDP can be looked at as a faulty indicator in several ways. The GDP does not take domestic household prouducts or the black market into consideration. It also is not an accurate measure of the change in productivity. GDP does not consider the distribution of wealth of nations. Therefore, the GDP has faults and can be seen as a faulty indicator and I would suggest GNP.