why two countries cannot be compared using total income as a criterian
Share
why two countries cannot be compared using total income as a criterian
Sign Up to our social questions and Answers Engine to ask questions, answer people’s questions, and connect with other people.
Login to our social questions & Answers Engine to ask questions answer people’s questions & connect with other people.
However, for comparison between countries, total income is not such an useful measure. Since, countries have different populations, comparing total income will not tell us what an average person is likely to earn.
Answer:
It is calculated by dividing the total income of a country by its total population. However, a calculation based on average income has a limitation because it does not tell us whether there is equal or unequal distribution of income in a country
Explanation: