GDP Gap

(redirected from Gross Domestic Product Gap)

GDP Gap

The economic growth that an economy would experience if all persons willing to work had jobs. The GDP gap represents growth that can never happen because the economy has not allocated jobs to all willing workers. This can occur for a number of reasons, including excessive government regulation and corporate fear for future earnings. See also: Unemployment rate, Full employment.
References in periodicals archive ?
Labour has learnt the lesson of its first Assembly administration where in its strategy A Winning Wales is set an extremely ambitious target of reducing the economy's gross domestic product gap to 90% of the UK average by 2010.
Once finalised, Wave will replace the incumbent economic development strategy, A Winning Wales, which at its heart aimed to reduce the economy's gross domestic product gap to only 90% of the UK average by 2010 - it is currently just below 80%.
On a whistle-stop tour of South Wales, Ms Hewitt said the Welsh Assembly Government was right to set its ambitious target of reducing the economy's gross domestic product gap with the UK average by 2010.
Technium chief executive Dr Steve Davies said the results showed a high level of research and development and graduate employment and the roll-out of the concept across Wales could help reduce the economy's gross domestic product gap with the UK average.
The figures will come as welcomed news to the Assembly Government, which under its economic development strategy, A Winning Wales, aims to reduce the economy's gross domestic product gap with to 90% of the UK average by 2010.