why do we use averages are there any limitation to the use in suit rate with you own example related to development
Answers
We use averages because they are useful for comparing differing quantities of the same category. For example, to compute the per capita income of a country, averages have to be used because there are differences in the incomes of diverse people. However, there are limitations to the use of averages
Hey mate
We use average income to divide the country into three as developed , developing and under - develop . Our country , India is under the category of developing .
The limitations of this criterion are average income does not indicate the overall development in terms of health and education of the society . Distribution of income amongst rich and poor class people is not reflected in the concept of average income .
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