Question

Why do we use average compare the development of country? What are the limitation using it ? Explain?

Answer 1

Use of averages to compare development :
(i) Averages are used for better understanding.
(ii) For comparison between countries, total income is not very useful.
(iii) Different countries have different populations, so total income will not tell us what an average person is likely to earn.
(iv) According to the World Bank, countries with per capita income of US $ 12616 per annum and above in 2012 are called rich countries, and those below US $ 1035 per annum or less are poor.
Limitation : Average income does not depict how the income is distributed among the people. Some may be very rich but the masses may be

Answer 2

$\Large{\textbf{\underline{\underline{Points\;are}}}}$

1. Averages are utilized for better understanding.

2. For examination between nations all out pay isn't exceptionally valuable.

3. Various nations have various populaces so all out pay won't mention to us what a normal individual is probably going to gain.

4. As indicated by the world bank nations with per capita pay of US $12616 per annum or more in 2012 are called rich nations and those underneath US $1035 per annum or less are poor.

$\Large{\textbf{\underline{\underline{Limitation:-}}}}$

Normal salary doesn't portray how the pay is conveyed among the individuals. Some might be extremely rich yet the majority might be poor.