Question

The limitation of measuring development through average income is:
(a) The average does not tell us about the population of the countries. (b) It does not tell us how the income is distributed among the people.
(c) It does not look at other development indicators such as health, education, security, dignity, equality. etc. (d) All of the above. Which of the statements given above are correct? (a) Only (iv) (b) (i)and (ii) (c) (ii) and (iii) (d) only (iii)

Answer 1

Answer:

C is the answer of the question

Answer 2

(d) All of the above.

Explanation:

The limitation of measuring development through average income is:

1. (a) The average does not tell us about the population of the country. If the rate of growth of population is higher than the rate of growth of income, it will show a fall in average income which is not accurate.
2. (b) It does not tell us how the income is distributed among the people. The rich may continue to become richer and the poor may get poorer.
3. (c) It does not look at other development indicators such as health, education, security, dignity, equality. etc. Average income is a function of rise in prices, but the standard of living of the people.

All of the above statements are true. So Option D is correct.