What is GDP?
GDP is Gross Domestics Product which is a total of all economics activities measured in a currency, usually U.S. dollars for cross comparison in a given period.
Why it matters?
GDP is measured all over the world for a long period of time. In order to compare progress over time or by countries, it is best using GDP because it is defined consistently over time and in different places
Are there any shortcomings of GDP?
This measure is, of course, not perfect, nor is it the most reliable measure for tracking progress or human development. For example, in order to increase GDP in a year, a country can clear cut all forests. While GDP increases significantly in that year, the next year it will drop. To use GDP to track progress in the year when the forest is clear cut it represents progress, but in the next year it comes regress