Which of the following should be used to compare the incomes of countries with huge differences in the cost of living?
A) Gross national product
B) Income per working age population
C) Exchange-rate-based measures of income per capita
D) PPP-based measures of income per capita

Question

Quizplus · Accepted Answer

PPP-based measures of income per capita adjust for differences in the cost of living between countries. This allows for a more accurate comparison of the standard of living between countries with different levels of development and cost of living.

Which of the Following Should Be Used to Compare the Incomes