Question

what is average income ? limation of it​

Answer 1

Average income of a person depends from place to place so it cannot be told that easily. the basic limitations are that they are not able to overspend on excessive things that are not meant for them. It is measures the average income earned per person in given area (city, region, country, etc) in a specific year.

Answer 2

Answer:

it is used to compare different countries..it is calculated by dividing the national income of the country by its total population...it is also known as per acpita income.

its limitations are..

1.it hides the disparities of a particular country..

2. it do not gives the true picture regarding the distribution of income.

3. it do not give us any information regarding the non materialistic goods and services.