How is real GDP per capita obtained?
Answer and explanation
Correct answer: By dividing real GDP by population
Real GDP per capita means the average amount of inflation-adjusted production associated with each person. It is calculated using the formula: Real GDP per capita = Real GDP ÷ Population. Therefore, real GDP must be divided by the population, making option A correct. Option C reverses the ratio, while B and D do not produce the per-person real output measure.
Frequently asked questions
What is the correct answer to this question?
By dividing real GDP by population
Why is this the correct answer?
Real GDP per capita means the average amount of inflation-adjusted production associated with each person. It is calculated using the formula: Real GDP per capita = Real GDP ÷ Population. Therefore, real GDP must be divided by the population, making option A correct. Option C reverses the ratio, while B and D do not produce the per-person real output measure.
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.
