Question

Look at the data in Tables 3 and 4. Is Haryana as ahead of Bihar in literacy
as it is in terms of per capita income?​

Answer 1

⏺️ Per Capita Income is not an adequate indicator of economic development for the following reasons :

● It is an average amount of the total income which means it can't show the actual income status of a country.

● Only Per Capita Income can not indicate the development of a country alone.

● It needs other criterion to judge the economic development like literacy rate .

● Health status of the citizen is also another criteria for indicating the economic development.

● Distribution of income amongst rich and poor class people is not reflected in the concept of per capita income.

Answer 2

Per capita income (PCI) or average incomemeasures the average income earned perperson in a given area (city, region, country, etc.) in a specified year. It is calculated by dividing the area's total income by its total population.