How to measure country's Economy ???

GDP (Gross domestic product) is one of the ways of measuring the size of the country’s economy. It is defined as the total market value of all final goods and services produced within a country in a given period of time.

GDP = C + I + G + (X-M)

C is private consumption in the economy. This includes most personal expenditures of house holds such as food, rent, medical expenses…

I is defined as investments by business or households in capital. Examples of investment by a business include construction of a new mine, purchase of software or purchase of house etc.

G is the sum of government expenditures on final goods and services. It includes salaries of public servants, purchase of weapons for the military and any investment expenditure by a government

X is gross exports

M is gross imports

Just keep this in mind -- a positive growth rate of GDP implies that the economy is expanding, while a negative growth rate of GDP implies that the economy is contracting

Facts to be known : India has the world's 12th largest economy -- and the third largest in Asia behind Japan and China -- with total GDP of around $1 trillion. Services, industry, and agriculture account for 55%, 27%, and 18% of GDP respectively. Nearly two-thirds of the population depends on agriculture for its livelihood. 700 million Indians live on $2 per day or less, but there is a large and growing middle class of 325-350 million with disposable income for consumer goods.