Explain per
capital income with its advantages
and limitations
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Answer:
per capita income-we compare the average income which is the total income of the country divided by its total population.
it is also known as the average income.
it is calculated in dollars for all countries so that it can be compared
limitations-it takes only income as it's base for dividing the country into different categories disregarding the other factors like education, health status, happiness report etc
it does not tell us how the income is distributed in the country.
advantages-it gives us the idea about economic development of the country.
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