Question

Is per capita income a satisfactory measure of
economic development ? Mention the limitations
of per capita income as a measure of clonomic!
development.​

Answer 1

Answer:

Per capita income as an indicator of development has the following limitations: 1. Per capita income does not reflect the standard of living of the people. ... Thus unless national income is evenly distributed, per capita income cannot serve as a satisfactory indicator of development.

Explanation:

1. Per capita income does not reflect the standard of living of the people

2. If per capita income is the measurement, the population problem may becancealed, since population has already been divided out.

3. An increase in per capita income may not raise the real standard of living of people.