Question

Why is per capital income not an adequate indicator of economic development of a country? Explain with 5 easy lines for long answer

Answer 1

National Income is significant measure to comprehend the economic development but not adequate & reasons are:

National Income is not guarantee of equal distribution of wealth/income among peopleNational income is  no guarantee of number of poverty reductionNational income is no guarantee of more employment opportunitiesNational income is no guarantee of high standard of livingwhich are essential indicators of economic development

Answer 2

HEY , HERE'S THE ANSWER ⏬

⏺️ Per Capita Income is not an adequate indicator of economic development for the following reasons :

● It is an average amount of the total income which means it can't show the actual income status of a country.

● Only Per Capita Income can not indicate the development of a country alone.

● It needs other criterion to judge the economic development like literacy rate .

● Health status of the citizen is also another criteria for indicating the economic development.

● Distribution of income amongst rich and poor class people is not reflected in the concept of per capita income.

HOPE IT HELPS YOU ✌️!!!