A reasonable measure of the standard of living in a country is
A) real GDP per capita.
B) nominal GDP per person.
C) real GDP.
D) the growth rate of nominal GDP per person.
E) nominal GDP.

Question

Quizplus · Accepted Answer

Real GDP per capita takes into account inflation and the size of the population, providing a more accurate measure of the standard of living in a country compared to nominal GDP or nominal GDP per person. Real GDP also takes into account changes in the price level, which can affect the purchasing power of individuals and the overall economy. The growth rate of nominal GDP per person can be misleading as it doesn't take into account inflation or changes in population size.

A Reasonable Measure of the Standard of Living in a Country