This indicator is invented by great investor of this century . The owner of berkshine hathway the WARREN EDWARD BUFFETT . This indicator help ourself to find  the valuation of the market in current time. With the help of this indicator we can find that the market is over valued or undervalued or in her fair price value in current time  
Formulae :-
Market capitalization / gross domestic product
Point to remember
When buffet indicator is between 0.5 to 0.75 then market is under valued 
When it is between 0.75 to 0.9 then market is in fair value 
Or when it is above 0.9 then market is overvalued