Home > Economics Questions and Answers > Per capita income of a country is derived from?
Per capita income of a country is derived from?
A
Population
B
National income
C
National income and Population
D
None of these
Correct Answer:
C
National income and Population
- Per capita income refers to the average income earned by each person in a country.
- It is calculated by dividing the national income of a country by its total population.
- Per capita income helps measure the standard of living and economic well-being of people.
- A higher per capita income generally indicates a better standard of living.
- Both national income and population are necessary for calculating per capita income.
- Therefore, per capita income is derived from National Income and Population.