Question

Countries that currently have low real GDPs per capita are destined to always have lower living standards than countries that currently have high real GDPs per capita.
True or False

Answer 1

Answer:

The correct answer is the option: True.

Explanation:

To begin with, the GDP per capita is a monetary measure that establishes the value of the final goods and services produced in an economy divided by the total amount of citizens within that particular economy, therefore that it measures the amount of production that an individual inside that country produces.

Secondly, the living standards refers to the combination of factors that determinates the quality of life inside a certain economy, therefore that with higer level of living standards the life inside a country is better for most of the individuals within and lower living standards determinates that the life in a country is not so good as others. Moreover, this type of measure is affected by the GDPs per capita of the economy and therefore that a low GDPs per capita impacts in a low living standard and a high GDPs per capita determinates a high living standard.