Re: Forget the geeky stuff, sort out the user experience.
1. What's hard to understand about GNU Image Manipulation Program? It's a Program to Manipulate Images, brought to you by GNU. Makes sense to me.
2. Neither Adobe PhotoShop nor JASC PaintShop Pro allow you to sell or buy photos or paints. How is that easier to understand? I think it's more that you're familiar with them so you assume novices will be as well. At best you may argue that PhotoShop has become a colloquial term, but that's simply brand penetration, not clear naming to begin with.
3. Even if you only know it by GIMP, since it is not pre-installed on any systems that I know of, how would it even end up on a novice user's machine without them downloading it, at which point one would assume they've been to a website which describes to some degree what the software does.