1. The following table contains the GDP per capita of selected countries. GDP per capita in 2020 (US $) At market exchange At PPP Country Name Canada China India Jamaica rate 46195 10262 2100 5582 prices 51342 16830 6997 10193 Why do you think the GDP per capita numbers are different for each country when calculated at PPP prices versus when calculated using market exchange rate? Can we compare the cost of living among these countries? Explain your answer.
1. The following table contains the GDP per capita of selected countries. GDP per capita in 2020 (US $) At market exchange At PPP Country Name Canada China India Jamaica rate 46195 10262 2100 5582 prices 51342 16830 6997 10193 Why do you think the GDP per capita numbers are different for each country when calculated at PPP prices versus when calculated using market exchange rate? Can we compare the cost of living among these countries? Explain your answer.
Chapter1: Making Economics Decisions
Section: Chapter Questions
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