Question

why is the total income not useful measure for comparison between two countries explain the reason ​

Answer 1

See, we cannot say that it is completely useless, actually it is an important attribute used for comparing the develpment of countries.

But is not a complete measure as different countries have different population and national income doesn't tell what an average person is likely to earn in the country.

That is why to solve this problem we use per capatia income that is the average income of the country.

But again Per capatia Income doesn't tell how the income is distributed among the people of the country.

In a nutshell every measure has its pros and its cons and none of them are perfect we are still developing a better method of comparing the level of development in different countries.

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