Question

Why national income is not considered as an appropriate measure of economic welfare?

Answer 1

Answer:

நல்ல லை லை ஓப் நல்ல ஐக் நல்ல

Explanation:

லஙௌஊஐஞ நல்ல லை லவ் பழ

Answer 2

National income is not considered as an appropriate measure of economic welfare because it measures the increase in the average income but does not considers how much the quality of living is improved.

EXPLANATION:

• National income is measured by dividing the total income of the country by the total population of the country, so it is an average that is taken and not the exact values.
• Since, the area considered is really vast it does not highlight the areas with low average income. Secondly, the national income does not show how the quality of living of people has changed.
• A place can have very high national income but, if it does not have a high life expectancy then it should not be considered as an ideal condition, the national income does not say about this.
• These is the two major reasons why national income is not an appropriate measure of calculating economic welfare.