Why is per capita gross domestic product (per capita GDP) better than gross domestic product (GDP) as a measure of a country's wealth? O Location and land mass have a large effect on GDP and must be considered in assessing a country's economy. O Because per capita GDP takes population into account, it is more useful for comparing the standard of living in different countries. O Per capita GDP provides information on income, while GDP only provides information on investment. O Per capita GDP includes the value of land, minerals, and crops not counted by normal GDP.

Why is per capita gross domestic product (per capita GDP) better than gross domestic product (GDP) as a measure of a country's wealth? O Location and land mass have a large effect on GDP and must be considered in assessing a country's economy. O Because per capita GDP takes population into account, it is more useful for comparing the standard of living in different countries. O Per capita GDP provides information on income, while GDP only provides information on investment. O Per capita GDP includes the value of land, minerals, and crops not counted by normal GDP.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter20: Economic Growth In The Global Economy

Section: Chapter Questions

Problem 2P

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Similar questions

5. If you wanted to determine which was the largest economy in the world, which variation of GDP would you use? O GDP per capita Nominal GDP in US dollars O Real GDP per capita O Real GDP in national currency
When people living in America spend $10,000 to buy imported goods at the shopping mall, how does this affect U.S. GDP? O GDP decreases because we are buying foreign goods and not American goods. O GDP is not affected because the goods are not produced in America. O GDP increases by $10,000 because the consumers live in America. O GDP increases by an amount equal to the value added by the stores in the shopping mall. W ASUS 8 R
Suppose hat 25 yean ago a country had nomunai GDP of 1000, a GDP deflator of 200, and a population of 100 Today, that country has a nominal GDP of 3000, a deflator of 400, and a population of 150 What happeted to the real GDP per person? O roe, but less than doubled Oa did net change O ct more than doubled
Item Consumption expenditure. Investment Government expenditure on goods and services Exports of goods and services Imports of goods and services 8. Based on the data in the table, what does GDP equal? O $11,183 billion O $11.023 billion O $11.103 billion O $12.393 billion Billions of Dollars 8180 1520 1403 1290 1370
Which of these statements is not true when we discuss GDP calculation? O a. GDP includes earnings of both the citizens and non-citizens but are residing inside the country. Ob. Incomes made by a citizen outside of his country will be included in the calculation of GDP O c. Expenditures of citizens and non-citizens made inside the country is included in GDP calculation O d. Incomes made by expatriates are included in the calculation of GDP
1 of 10 In 1980, Denmark had a GDP of $70 billion (measured in U.S. dollars) and a population of 5.1 million. In 2000, Denmark had a GD U.S. dollars) and a population of 5.3 million. By what percentage did Denmark's GDP per capita rise between 1980 and 2000? 45.40% 119.95% O 128% 219%
O O O O GDP includes the goods and services produced A. within a country's borders by citizens and by non - citizens minus the production abroad by the country's citizens. B. by a country's legal citizens regardless of where in the world they are located. O C. within a country's borders by citizens and non - citizens plus goods produced abroad by the country's citizens. D. within a country's borders by citizens and by non - citizens. O E. by a country's citizens but not by non - citizen's within the country's borders.
Suppose you are interested in the hypothesis that internet access is a significant contributor to economic development and you want to quantify the magnitude of such contribution. To do this correctly, you could: O look at the correlation between PPP GDP p.c. and internet access across countries compare income in villages that have higher internet access with villages that have lower internet access implement a policy in which you randomly subsidize internet access for some villages but not others either of the previous options is enough
Which one of the following has to be taken into account when GDP is estimated? O A. John purchases shares to the value of R150 000 in Anglo American plc. O B. Peter invests in a 24-month tax-free fixed deposit. O C. A firm buys Mpho, its sales representative, a new car. O D. Patrick, a university student, buys an old car from a friend. O E. Anne, a civil pensioner, receives her monthly pension from the government.
Which of the following items is not a component of the income approach of measuring the U.S. GDP? O interest earned on savings deposits in the U.S. O profits made by foreign businesses in the U.S. O investment spending of American businesses in the U.S. O income earned by American businesses that export goods.
The Human Development Index measures O A. living standards across various countries. O B. the amount of ethnic welfare and disease in third-world countries. O C. how fairly income is distributed across countries. O D. the relative lifespan and education in third-world countries. The correlation between this index and real income per capita in a country is O A. the correlation between this index and real income per capita is weakly negative. B. countries with higher real income per capita tend to have higher levels of this index. C. no discernable association exists between this index and income per capita. D. a positive association is apparent but only for high-income economies.
2. 1. Suppose the real GDP and the population of an economy in three different years were those shown in the following table. Real Year Population, Per GDP, billions capita real million of GDP dollars 1 30 $ 9 $300 2 60 24 3 90 45