how to calculate backward country
Answers
Explanation:
calculate by per capita income
Explanation:
GDP is a measure primarily used as a yardstick to gauge the growth of a country. Our government has stressed the GDP growth as one of the measures of its success.
GDP is a measure primarily used as a yardstick to gauge the growth of a country. Our government has stressed the GDP growth as one of the measures of its success. Incumbent NDA government has frequently mentioned that India is the fastest growing economy and has surpassed France and has Britain in its sight. However, with doubts over its accuracy, and expert opinion that it is not a be-all, end-all measure, the government is also under fire. Gross Domestic Product or GDP is the total of the output of a country. However, it is very tough to accurately calculate all of the products and services produced in a country together. To make such a summation possible, it is essential to define what production is and what it is not. Secondly, it is equally necessary to have useful statistics, which are not always easy to gather. Thirdly, it requires a sophisticated system that can add it all together.
A globalized economy produces a variety of products that are classified as primary, secondary, and tertiary. Along with sectoral segmentation into agriculture, manufacturing, and services, the calculation of GDP becomes an arduous task. Now, with India, there is a bigger problem of a largely unorganized sector and a considerable black market. Generally, agencies exist which record the data, estimate it to a more realistic number, and then that number added to the GDP. Now not every farmer goes up to an agency and reports his output, for that several estimation techniques, are in play, one such devised by UN, National System of Accounts, which India is trying to implement.