Question

what is the main criterion used by world bank in classifying different countries?what are the limitations of the above criterion,if any?​

Answer 1

Answer:

In the World Development Report issued by the World Bank, the main criteria used for classifying countries is their per-capita income.                   Countries with per-capita income more than US$12236 are called rich countries. While countries with per-capita income less than US$1005 or less are called low income countries.

Limitations-

1)per capita income hides disparities in the country

2)the criteria hides unequal distribution of income among people

3)factors like literacy rates,health standards etc. are ignored, which play important role in defining quality of life.

Answer 2

Answer:

The main criterion used by the World Bank in classifying different countries is the per capita income or average income of a person in a country.

Limitations of this criterion:

It does not tell us about how this average income is distributed among the people in the individual countries. Two countries with the same per capita income might be very different with regard to income distribution. One might have equitable distribution of income while the other might have great disparities between the rich and the poor.