How is per capita GDP obtained?
Answer and explanation
Correct answer: By dividing GDP by population
Per capita GDP is an average measure calculated by dividing total GDP by the population: Per capita GDP = GDP ÷ Population. It estimates the average amount of output or income associated with each person, although it does not show how that income is distributed. Therefore option B is correct. Multiplying GDP by population produces no standard per-person measure, and exports or imports are irrelevant to this basic calculation.
Frequently asked questions
What is the correct answer to this question?
By dividing GDP by population
Why is this the correct answer?
Per capita GDP is an average measure calculated by dividing total GDP by the population: Per capita GDP = GDP ÷ Population. It estimates the average amount of output or income associated with each person, although it does not show how that income is distributed. Therefore option B is correct. Multiplying GDP by population produces no standard per-person measure, and exports or imports are irrelevant to this basic calculation.
Which subject and chapter does this question cover?
This is a Class 11 Economics question. Chapter: National Income and Related Aggregates. Topic: GDP and Welfare.
