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Explain how avegara income not the …

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Explain how avegara income not the the total income is use ful for comparing countries
  • 3 answers

Abhayasis Mishra 6 years, 10 months ago

Thanks

Abhayasis Mishra 6 years, 10 months ago

Thanks but i need more long answer

Gaurav Seth 6 years, 10 months ago

National income is the total income  of  the residents of the country.total income is not a useful measure in comparing the levels of development of diff countries as:-

1.countries have diff population so comparing  them will not tell us what an an average person is likely to earn.
2.it heights disparity between

a.people living in the same country but engaged in diff occupations
b.states with regard to public facilities like education and health

Hence average income is used to compare the countries which is the total income of the country divided by total population..it is also known as per caplta income

However while average income is useful for comparison it does not tell us how this income is distributed among people.

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