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levacccp [35]
4 years ago
15

In 2 to 3 sentences

Business
2 answers:
Vikentia [17]4 years ago
8 0

GDP is the sum of all goods and services produced in an economy. It is the main economic indicator of a nation. Per capita GDP is a social indicator that aims to measure the average income of a nation's population. Per capita GDP calculation consists of simply dividing the GDP value by the total population of a nation.

Per capita GDP indicates the average income of a country, but it is not a good indicator for income distribution. This is because a country may have a high middle income and be very unequal. This will happen if income is concentrated in the hands of a small number of people. This would not be captured by GDP per capita, as this indicator only adds GDP and divides by the total number of people, without any weighting of the distribution of wealth. To determine income distribution, economists use other indicators such as the HDI and the Gini index.

andre [41]4 years ago
3 0
<span>The GDP per capita calculates what theoretically would be the </span><span>share of every individual in the country if the GDP was destributed equally. The economy of course is very different in reality where everyone ends up with a different portion depending on a lot of other factors.

</span>

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Natalka [10]

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3 years ago
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Dafna11 [192]

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your question seems incomplete. here is the full question used in answering this question

Free Spirit Industries Inc. is considering a project that will have fixed costs of $10,000,000. The product will be sold for $41.50 per unit, and will incur a variable cost of $10.75 per unit. p na r so Free Spirit's marketing and sales director doesn't think that the firm's market is big enough for the firm to break even. In fact, she believes that the firm will be able to sell only about 200,000 units. However, she also thinks that the demand for Free Spirit's product is relatively inelastic (so the firm can increase the sales price without significantly decreasing the volume of product sold). Assuming that the firm can sell 200,000 units, what price must it set to break even? O $57.71 per unit O $72.90 per unit O $60.75 per unit O $66.83 per unit

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